Shares of Stuart, Florida-based Liberator jumped as much as 25% as of 8:22 a.m. in New York. The stock had closed up 7.2% to $2.68 on Friday. Shares of C.R. Bard closed down 1.8% at $181.96 on Thursday.
With the aim of enhancing its presence in the home care market, C. R. Bard will acquire Liberator for $3.35 per share, according to a statement released on Friday.
Liberator sells general medical supplies including urological catheters, ostomy products, mastectomy fashions, diabetic supplies and a modest amount of Bard's products.
The deal will add $70mln to Bard's top line and be slightly accretive to non-GAAP EPS in 2016.
Starting in 2017, the acquisition will add between $0.05 and $0.10 to non-GAAP cash EPS.
The transaction is expected to close in the first quarter of 2016.
JMP Securities LLC served as exclusive financial advisor to Liberator.