Danaher Corp.\u2019s $9.9 billion buyout of Masimo Corp. closes the chapter on one of Orange County\u2019s most well-known healthcare companies.<\/p>\n
Masimo\u2019s common stock stopped trading on the Nasdaq on the day the deal closed on June 10, ending the company\u2019s nearly two-decade run as a publicly traded firm.<\/p>\n
A few days later, Katie Szyman announced that she\u2019d be stepping down as chief executive of Masimo after a year in the role.<\/p>\n
\u201cI am pleased to share\u2014albeit with bittersweet emotions\u2014that I have decided to step down from the CEO role at Masimo,\u201d Szyman wrote in a LinkedIn post. \u201cLeading Masimo has been an incredible privilege, and I am very proud of the growth and momentum we achieved together.\u201d<\/p>\n
Szyman served as a senior advisor to Danaher throughout the acquisition process, according to her profile.<\/p>\n
Taking over the now acquired unit is Julie Sawyer Montgomery, executive vice president of Danaher\u2019s diagnostics segment, which comprises six companies, including Brea-based Beckman Coulter.<\/p>\n
The close ends a storied era for Masimo, which was founded in 1989 by Joe Kiani. The company became famous for inventing a non-invasive medical device to measure a person\u2019s oxygen levels, which was particularly helpful in keeping newborn babies alive.<\/p>\n
Kiani grew the company to a market cap that topped $14 billion about five years ago.<\/p>\n
However, investors criticized his $1 billion acquisition of an audio maker company, and he was ousted after a bitter proxy battle in 2024. Kiani has praised Danaher\u2019s acquisition of his company, saying it \u201cdoes things for the long run.\u201d<\/p>\n
Officials said that Masimo will keep its brand as a stand-alone company within Danaher\u2019s diagnostic segment and remain headquartered in Irvine.<\/p>\n
Acute Care Setting Synergies
The acquisition was first announced in February and approved by shareholders a month later.<\/p>\n
Masimo had long been on Danaher\u2019s radar prior to the announcement, according to Danaher Chief Executive Rainer Blair.<\/p>\n
\u201cWe\u2019ve followed Masimo for over a decade and believe the company is well-positioned with its trusted brand, differentiated technology and attractive financial profile,\u201d Blair said during the company\u2019s first quarter earnings call on April 21.<\/p>\n
Blair pointed out similarities between Masimo and Radiometer, one of Danaher\u2019s diagnostics businesses that also operates in the acute care setting. The Denmark-based company specializes in blood gas analysis.<\/p>\n
The businesses also bring complementary strengths geographically, with Masimo having a stronger presence in the U.S. and Radiometer being more established in Europe, Blair said.<\/p>\n
Danaher said it expects cost synergies of $125 million and $50 million in revenue by the fifth year of the deal being closed.<\/p>\n
Shareholders Receive $180 Per Share
Masimo shareholders received $180 for each share of the company\u2019s common stock they held.<\/p>\n
Analyst firm Piper Sandler\u2019s final rating on the company was Market Perform, downgraded from Outperform following the acquisition announcement.<\/p>\n
\u201cWe are downgrading MASI to Market Perform from Outperform, as we expect the announced acquisition by Danaher to close in 2Q\/3Q26 with no other higher offers,\u201d Jayson Bedford and Elaine Cui wrote in a March 27 note to investors.<\/p>\n
\u201cWith shares trading near the $180\/share offer price, we believe incremental upside is less attractive, supporting a lower rating.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"Danaher Corp.\u2019s $9.9 billion buyout of Masimo Corp. closes the chapter on one of Orange County\u2019s most well-known…\n","protected":false},"author":2,"featured_media":370622,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[36],"tags":[163,165,164],"class_list":["post-370621","post","type-post","status-publish","format-standard","has-post-thumbnail","category-anaheim","tag-anaheim","tag-anaheim-headlines","tag-anaheim-news"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us-ca\/wp-json\/wp\/v2\/posts\/370621","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us-ca\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us-ca\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ca\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ca\/wp-json\/wp\/v2\/comments?post=370621"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us-ca\/wp-json\/wp\/v2\/posts\/370621\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ca\/wp-json\/wp\/v2\/media\/370622"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us-ca\/wp-json\/wp\/v2\/media?parent=370621"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ca\/wp-json\/wp\/v2\/categories?post=370621"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ca\/wp-json\/wp\/v2\/tags?post=370621"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}