St. Paul medical technology company MGC Diagnostics Holdings has been acquired by a Georgia oxygen supply company, marking the second ownership change for the company in the last six years.
Caire Inc., a subsidiary of Japan-based NGK Spark Plug Co., paid $170.2 million for MGC Diagnostics, which focuses on cardiorespiratory diagnostics equipment and software, according to filings made by NGK. Wilton, Conn.-based private equity firm Altus Capital Partners in December 2017 had bought MGC, which was previously publicly traded, for $50.3 million.
Under Altus Capital Partners, MGC Diagnostics made three acquisitions of smaller firms to grow an international footprint in Germany, France and Australia. MGC Diagnostics generated $64 million in revenue in 2021, according to NGK Spark Plug, compared with $53.6 million in 2020 and $48.9 million in 2019.
"We have been fortunate to work with Altus Capital Partners in strengthening MGCD's growth platform over the last five years," Todd Austin, MGC Diagnostic's chief executive, said in a statement.
Caire initially announced the acquisition in November 2022, but the transaction to Altus Capital Partners closed at the end of December, according to a release from the investment firm.
Caire said in a news release it intends to use MGC to increase its supply of pulmonary function testing systems and leverage the St. Paul company's global distribution pipeline into hospitals and clinics.
"MGC has a state-of-the-art portfolio that is widely adopted to diagnose respiratory disease and to ensure that the information obtained benefits disease management," Earl Lawson, president and chief executive of Caire, said in the release. "These tools are an excellent complement to Caire's complete range of oxygen therapy solutions."
Founded in 1977, MGC Diagnostics currently has more than 200 employees across its five locations.
"After outperforming the market consistently, we look forward to leveraging the resources of Caire and NGK Spark Plug to drive continued growth in our existing markets and to launch new products and technologies through our best-in-class distribution channels," Austin said.
