(Adds details on deal, share movement)
Jan 12 (Reuters) - Medical equipment maker Steris Plc is buying rival Cantel Medical Corp for about $3.6 billion to expand into dental care and add endoscopy equipment to its products, it said on Tuesday.
As part of the cash-and-stock deal, Steris will pay $84.66 per Cantel share, on par with Monday’s closing price. Cantel stockholders will get about $16.93 in cash and 0.33787 of Steris ordinary share.
Shares of Cantel rose 1.3% to $85.75 in premarket trading, while Steris fell 1.2% to $198.
New Jersey-based Cantel produces infection prevention equipment including filtration, sterilization products and disposable products used in endoscopy procedures for hospitals and dental clinics.
The deal is expected to help the companies save annual pre-tax cost of about $110 million by the fourth fiscal year after the deal closes, with nearly 50% likely to be achieved in the first two years.
The transaction is expected to close by the end of Steris’s first quarter of fiscal 2022.
Reporting by Manas Mishra and Mrinalika Roy in Bengaluru; Editing by Arun Koyyur