Juniper Investment Company LLC is purchasing Theragenics Corporation for $2.20 per share in cash.
The transaction is expected to close in the fourth quarter of this year with Chairman/CEO/President M. Christine Jacobs stepping down once the deal is complete. Jacobs will be succeeded by Chief Financial Officer Frank J. Tarallo, who also will remain president of the company's Brachytherapy business. The senior management of Theragenics' wholly-owned subsidiaries - CP Medical, Galt Medical, and NeedleTech Products - will not be affected by the acquisition.
“This transaction presents a significant premium over the company’s trading prices prior to the announcement of discussions with Juniper, and, after careful analysis, the board has determined that the transaction is in the best interests of our stockholders,” Jacobs said. “Juniper is an experienced investor and committed to maintaining the customers-first approach that is so fundamental to the company. Theragenics will be well positioned to continue to serve the needs of its customers without the significant burden of public company costs.”
Alexis Michas, a managing member of Juniper Investment, noted, “We will be focused on delivering profitable growth by providing outstanding products and outcomes for the company’s customers. We recognize the company’s success is driven by the efforts of its employees, and we look forward to continuing to build on the company’s strong foundation of quality, dedication and service.”
The financing for the transaction consists of a combination of equity contributed by affiliates of Juniper and other investors, including affiliates of Garrison Investment Group, and debt financing provided by Credit Suisse AG and affiliates of Garrison Investment Group. Juniper currently owns approximately 7 percent of Theragenics' outstanding common stock and plans to reinvest that equity.
VRA Partners is acting as Theragenics' financial advisor, and Brown Gibbons Lang & Company is acting as the board's independent financial advisor. Bryan Cave LLP is acting as the company’s legal advisor.
Juniper is acting as its own financial advisor, and Shearman & Sterling LLP is acting as its legal advisor.
Juniper Investment Company was founded in 2007 to develop and manage alternative investment offerings that address unique market opportunities. The principals of Juniper have extensive private equity investment experience dating back to 1981, encompassing the activities of such predecessor organizations as Merrill Lynch Capital Partners and Stonington Partners.Theragenics is a $59 million medical device company supplying disposable surgical products for cancer treatment primarily in the United States and Europe as well as general surgical supplies like sutures, and other wound closure products. The firm is based in Buford, Ga.