Shenzhen med device company buys sales network in US for $202 million

As I've said elsewhere, companies with established sales (and distribution) networks in the U.S. will become increasing attractive acquisition candidates for Chinese firms looking to access what is still, by far, the biggest market in the world.



From 3/11/2008 WSJ:

Mindray Medical International Ltd., one of China's top medical-device makers, will acquire Datascope Corp.'s patient-monitoring business for $202 million, Mindray said, securing a foothold in the U.S. market as the company strives to become an international competitor.



The deal between Mindray, of Shenzhen, and Datascope, of Montvale, N.J., comes as Chinese health care companies increasingly look to overseas markets to build on profits made on low-cost manufacturing at home.



The purchase of the Datascope business, which had revenue of $161.3 million last year, will give Mindray access to Datascope's network of sales and service representatives, some 90 people who peddle the company's products to hospitals and surgery centers across the U.S. Building that kind of network from scratch would have been a challenge, said Joyce Hsu, Mindray's chief financial officer, who confirmed the deal.