Ethox International, Inc.
Finding an Optimal Buyer and Closing in a Tough Environment
Client: Ethox International, Inc., sold to Moog (NYSE: MOGA)
Transaction: On January 23, 2009, Moog Inc. closed its acquisition of Burnham’s client, Ethox International, Inc., a manufacturer and marketer of proprietary disposable medical devices and a fully-integrated contract manufacturer for many of the industry's leading medical device companies. Ethox was a portfolio company of Andlinger & Company, a family office and private equity investor. Moog Inc. is a worldwide manufacturer of precision control components and systems for aerospace, industrial and medical markets. Moog’s Medical Devices Group produces leading infusion pumps, along with disposable administration sets. Ethox broadens Moog’s disposable products base by adding a full complement of products, production capabilities, sterilization facilities and testing laboratories.
The Burnham Solution: Burnham conducted a broad auction and, through rigorous strategic analysis, identified Moog as a potentially interested party given its intention to grow its medical division. Burnham closed the transaction despite the deepening global recession and challenging financial markets of late 2008 and early 2009. Through creative negotiation and structuring, Burnham was able to maintain the continued interest of several competing bidders in the final round, minimize the market’s impact on valuation and secure a deal within the seller’s acceptable valuation range.