Medical technology company Stryker Corporation (NYSE:SYK) recently announced that it has entered into a definitive agreement to acquire digital care platform Vocera Communications, Inc. (NYSE: VCRA) for about $2.97 billion or $79.25 per share. The deal is likely to close in the first quarter of 2022.
Following the news, shares of the company declined marginally to close at $271.50 on Thursday.
Vocera’s capabilities in the digital care coordination and communication category are expected to complement Stryker’s medical division.
Stryker stands to benefit from Vocera’s software competency, unique solutions and remote communication capabilities between patients and their families.
The CEO of Stryker, Kevin Lobo, said, “This acquisition underscores our commitment and focus on our customer. Vocera will help Stryker significantly accelerate our digital aspirations to improve the lives of caregivers and patients.”
On January 6, BTIG analyst Ryan Zimmerman reiterated a Buy rating on the stock with a price target of $280, which implies upside potential of 3.1% from current levels.
Wall Street’s Top Analysts have awarded Stryker a Strong Buy consensus rating based on 10 Buys and 3 Holds. The average Stryker price target of $296 implies upside potential of 9% from current levels. Shares have gained 11.4% over the past year.
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