Danaher Corp. is snapping up patient monitoring medtech Masimo in a $9.9 billion deal aimed at strengthening its diagnostics portfolio.
The acquisition values the device maker at $180 per share and will give Washington, D.C.-based Danaher access to Masimo’s advanced sensor technology and artificial-intelligence-enabled monitoring, the company said in a Feb. 17 press release.
Masimo, which specializes in pulse oximetry monitoring, will operate as a standalone company within Danaher’s diagnostics segment, Danaher said. Other brands in the franchise include Radiometer, Leica Biosystems, Cepheid and Beckman Coulter Diagnostics.
“We’ve followed this innovative company for many years and see it as an exceptional strategic fit for Danaher,” CEO Rainer M. Blair said in a statement.
“With the Danaher Business System and our global scale, we see opportunities to expand Masimo’s reach and continue improving outcomes for patients, particularly those in acute care settings.”
The deal follows a tumultuous few years for Irvine, California-based Masimo, marked by a proxy fight that led to the resignation of its founder and CEO and a cyberattack that slowed production at its manufacturing facilities.
The company also spun off a consumer business that includes its Stork baby monitoring system and its W1 smartwatch, which tracks pulse rates and oxygen saturation levels. The latter has been the focus of a long-running, multipronged legal battle with Apple over patent issues tied to the Apple Watch’s pulse oximetry feature, which the tech giant began adding to its wearables in 2020.
In November, a federal jury in California sided with Masimo, awarding it $634 million in damages over patent infringement claims linked to the Apple Watch’s abnormal heart rate notifications. The tech giant said at the time it would appeal.
In a separate release, Masimo CEO Katie Szyman, who took over in January 2025, said joining with Danaher was “an ideal fit” that “will strengthen our ability to scale our monitoring technologies globally.”
Masimo Chairman Michelle Brennan said the board evaluated a broad range of opportunities and engaged with multiple potential partners over the past several months.
“Ultimately, it became evident this transaction with Danaher was the most value-enhancing path for Masimo and all its stakeholders,” she said. The deal was approved unanimously by the boards of both companies, Masimo said.
Masimo is projected to deliver high-single-digit core revenue growth long-term, accelerating growth for Danaher’s diagnostics segment, according to the release. Under Danaher, Masimo is expected to generate earnings before interest, taxes, depreciation and amortization of more than $530 million in 2027, Danaher said.
Danaher said it will fund the acquisition with cash on hand and proceeds from new debt financing.
This is also another major deal for a medtech since the start of the year, coming after Boston Scientific spent $14.5 billion to buy up thrombectomy specialist Penumbra in January.
