Philips acquires medical equipment manufacturer for 1 billion euros

Philips is acquiring the American company Volcano for an amount of approximately 1 billion dollars. Volcano is an American manufacturer of medical equipment. The company will be integrated into the health division of Philips.

Volcano makes medical equipment that is used in vascular surgery. For example, the company makes measuring and imaging equipment that can be introduced into the body via a catheter. Images can be obtained by means of ultrasound. This allows surgeons to perform operations with greater accuracy and reduce the need for cutting. This lowers the risk of complications.

Philips is depositing 1.2 billion dollars, approximately 1 billion euros, for the American group. Volcano employs approximately 1,800 people and has annual sales of USD 400 million, or EUR 320 million.

Volcano will be integrated into Philips’ health division and become part of a new business unit focused on imaging equipment used during surgery. The health division is now the most important part of the Philips group. The division’s annual turnover amounts to 9.5 billion euros, accounting for 40 percent of the total turnover.