A national private-equity group is buying medical device maker Intricon Corp. in Arden Hills for about $241 million.
An affiliate of New York-based Altaris Capital Partners will buy Intricon for $24.25 per share, the companies announced Monday.
Intricon makes "micromedical" components, catheters and wearable medical devices for Medtronic and other manufacturers. It also has developed technology for over-the-counter hearing aids.
"We are excited to enter into this transaction with Altaris, which will deliver a compelling valuation to our shareholders and enable us to accelerate the advancement of our joint development manufacturing capabilities in micromedical technology across a broad range of high growth markets," Scott Longval, Intricon's CEO, said in a statement.
Altaris, which focuses its investments on the health care industry, has other Minnesota connections. It has been an investor in St. Paul-based Minnetronix Medical since 2015 and became the majority owner through a recapitalization in 2021.
It is possible that other buyers could step forward. Under the agreement, Intricon can solicit proposals from other parties through April 3 and in certain cases through April 13. Minneapolis-based Piper Sandler is Intricon's financial adviser for the transaction.
Intricon on Monday also reported a net loss of $64,000 for its fiscal year, compared with a $2.5 million loss last year. Revenue rose 21.8% to $125.2 million for the year.
Intricon has three Minnesota manufacturing facilities — two in Arden Hills and one in Vadnais Heights — and also has offices and operations in Singapore, Indonesia and Germany.
The latest annual investment report from trade group Medical Alley reported that 31 Minnesota medical and health care companies were sold in 2021.
Intricon's stock closed at $17.42 per share on Friday. On Monday, the stock closed at $23.93 per share, a 37.4% gain.
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