Written by StockNews.com

CR Bard Inc. (NYSE: BCR) has agreed to be acquired by fellow medical devices giant Becton Dickinson and Co. (NYSE: BDX) for $24 billion in cash and stock.

The merger entails that BCR shareholders will receive $222.93 in cash and 0.5077 shares of BDX stock per Bard share. The total value of the deal is $317.00 per Bard common share, which is a 25% premium over the stock’s Friday closing price of $253.07.

After the deal closes, Bard shareholders will own about 15% of the combined company.

Tim Ring, Bard’s chairman and chief executive officer, said via press release:

 “We are confident that this combination will deliver meaningful benefits for customers and patients as we see opportunities to leverage BD’s leadership, especially in medication management and infection prevention.

We also believe that we can expand our access to customers and patients through BD’s strategic selling capabilities, and that our fast-growing portfolio in emerging markets can significantly benefit from their well-established international commercial infrastructure.

Our two companies share the conviction that a product leadership strategy focused on unmet needs and improved outcomes that provide economic value to the global healthcare system will provide long-term shareholder returns.”

CR Bard Inc. shares were unchanged in premarket trading Monday. Year-to-date, BCR has gained 12.77%, versus a 5.40% rise in the benchmark S&P 500 index during the same period.

CR Bard Inc. currently has a StockNews.com POWR Rating of A (Strong Buy), and is ranked #6 of 122 stocks in the Medical – Devices & Equipment category.

Meanwhile, Becton Dickinson and Co. shares fell $1.03 (-0.56%) in premarket trading Monday. Year-to-date, BDX has gained 12.37%.

BDX currently has a StockNews.com POWR Rating of A (Strong Buy), and is ranked #2 of 122 stocks in the Medical – Devices & Equipment category.