Diversified medical device maker Covidien PLC has reached into Orange County for another deal.
Covidien makes a range of devices including patient monitors. Last week it said it would buy Costa Mesa-based Newport Medical Instruments Inc. for $108 million.
Newport, which had sales of some $40 million in 2011, makes ventilators used in hospitals and by home healthcare companies.
Covidien, which is based in Ireland and operates from Massachusetts, said that the deal is expected to close in the second quarter.
Newport sells its ventilators in the U.S. and more than 115 other countries. It has some 160 workers here.
A Covidien spokesperson said the company will review whether Newport Medical will remain in Costa Mesa after the deal closes. Covidien’s respiratory business is based in Boulder, Colo.
Covidien, which has annual sales of $11.6 billion and a recent market value of $26.2 billion, also competes in the ventilator market with CareFusion Corp.—a San Diego company with an operation in Yorba Linda—and foreign companies including Drägerwerk AG and Maquet GMBH, both of Germany, and Philips Respironics, a unit of Nether-lands-based Royal Philips Electronics NV.
Covidien has made larger Orange County-related deals in the past, including a $2.6 billion acquisition in 2010 of Ev3 Inc., a Minnesota maker of products for treating arterial diseases with 350 employees in Irvine. Covidien is a fierce rival of Irvine patient monitoring company Masimo Corp., which won a major patent victory over the company in 2006.
