CITIC PE scraps plans for Biosensors takeover

Biosensors said in February that the private equity firm had held "very preliminary discussions" with external parties about potentially increasing its stake, amid reports that it was seeking to buy a controlling interest. CITIC PE has now informed the company that it will not proceed with any takeover transaction, according to a regulatory filing.

CITIC PE bought a 21.7% stake in Biosensors from Hong Kong-listed Shandong Weigao Group Medical Polymer for $312.28 million in November 2013. Biosensors is also an investee of Hony Capital. The private equity firm acquired a 29% stake for $134 million in 2010 and has since helped the company develop its distribution platform in China. Hony's stake was 15.71% as of June 2013.

Biosensors was founded in 1996 and specializes in cardiovascular and critical care products, as well as a range of peripheral devices. It reported revenues of $80.2 million for the three months ended June 2014, up 5% year-on-year, while net profit fell 18% to $9.9 million.

Net income for the year ended June 2013 was $115.4 million, down from $364.3 million the previous year. Revenue rose from $292.1 million to $336.2 million over the same period. The drop in profit was due to a one-off gain in 2012 resulting from a revised valuation of an interest in a joint venture.

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• Topics
• Buyouts
• Healthcare
• Greater China
• Southeast Asia
• Citic Private Equity
• healthcare
• buyout
• Singapore