Samsung Signs Contract to Purchase Stake in Ultrasound Maker Medison
SEOUL, Korea - December 14, 2010 - Samsung Electronics Co., Ltd, a global technology innovation and digital convergence leader, today announced it has signed an agreement with Consus Asset Management Co., Ltd. to purchase stake in leading diagnostic ultrasound manufacturer Medison Co., Ltd., as part of its long-term strategic expansion into the medical devices business.
Under the contract, Samsung Electronics will acquire a 43.5 percent stake in Medison, as well as 100 percent of Prosonic Co., Ltd., a manufacturer of transducer probes and cables for ultrasound devices. The investment contract is contingent upon resolution by the court of a preliminary injunction on the disposal of part of the stake in Medison.
As part of Samsung's long-term plan to develop next-generation growth engines, the company announced earlier this year that it will invest 1.2 trillion won through 2020 in expanding into the healthcare equipment business, with an initial focus on diagnostics tools.
The ultrasound diagnostics device segment provided a logical entry point into the healthcare equipment market due to technological similarities and potential synergies with Samsung's existing consumer electronics and IT products and technologies. "We aim to combine Medison's expertise and advanced technology in diagnostics ultrasound devices with Samsung's resources, global network, design and other technological capabilities to create differentiated medical diagnostic solutions for the global market," said Sangwon Bang, Senior Vice President and Head of the Health & Medical Equipment (HME) Business Team, Samsung Electronics.
"With Samsung Electronics' investment, Medison will be strongly positioned to grow into a leader in the medical devices market," said Consus Asset Management Chairman Youngjae Kim.
Samsung unveiled its first healthcare equipment product offering in June this year - a portable, professional-use blood analysis device, initially available in the South Korean market.