The Chinese Ministry of Commerce has approved the proposed acquisition of the Swedish dialysis equipment manufacturer Gambro by Baxter International for $4 bn.
Under the terms of the conditional approval, the company is supposed to sell its global continuous renal replacement therapy segment and end an outsourcing production deal with Nipro in China by 31 March, 2016, reports Reuters.
The conditional clearance comes after Baxter International secured EU regulatory approval in July 2013, following its pledge to sell off its CRRT business, including supply deals and intellectual property rights.
The deal, if completed, would make Baxter International the second-biggest manufacturer in the dialysis market, which is expected to grow following spurt in obesity and diabetes cases.
The acquisition while complementing Baxter's global home dialysis offerings, provides it with a comprehensive dialysis product portfolio and positions the company to better meet the evolving needs of the expanding dialysis market.
Gambro, a global medical technology company focused on developing, manufacturing and supplying dialysis products and therapies for patients with acute or chronic kidney disease, is jointly owned by Swedish private equity firms EQT Partners and Investor.
