Another Medical Company Goes To Europe… Kensey Nash Buyout At All-Time High (KNSY)

Kensey Nash Corporation (NASDAQ: KNSY) is well-known for its regenerative tissue materials, but it is soon going to be known under a new name or at least with a new owner rather than Joe Public via the stock market.  The company has agreed to be acquired by Royal DSM for $38.50 per share in an all-cash premium buyout.

DSM, a Life Sciences and Materials Sciences company with sales of about 9 billion Euros per year and with about 22,000 employees, has agreed to acquire all of the common stock of Kensey Nash under a routine cash tender offer of $38.50 per share in cash.  The tender offer for the Kensey Nash shares is currently expected to be completed by the end of June 2012.

Kensey Nash shares closed at $29.01 with a $251.5 million market capitalization rate for its common stock on Wednesday, and the prior 52-week trading range is $18.17 to $30.50.  This is a company which has been public since the mid-1990s and this offer will constitute an all-time high above the 2008 highest printed price of $38.15.

Kensey Nash shares were already trading at 18-times expected fiscal June-2012 earnings expectations and 2.9-times expected revenues before this premium buyout offer.

Shares are trading up 32% at $38.35 in relatively active trading this morning.

JON C. OGG