Israeli medical giant in multimillion dollar deal

17 Jun 2002

ESC Medical Systems is to buy Coherent Medical Group for USD 203 million.

ESC Medical Systems of Israel, a manufacturer of medical devices, has signed an agreement to buy the medical products division of US-based laser supplier Coherent. ESC plans to change its name to Lumenis and hopes to be a global leader in light-based medical manufacturing.

"Coherent Medical Group's assets are highly complementary to ESC," said ESC's president and chief executive Yacha Sutton. "Combined with our own assets, we will be able to maximize R&D on a global basis."

"The transaction furthers Coherent's strategic opportunities in its telecommunications, semiconductor and electro-optics markets," added Coherent's chief executive Bernard Couillaud.

Couillard has accepted a seat on ESC's board of directors, which he asserts is a statement of his confidence in the combined management team to take Lumenis successfully forward.