Kimberly-Clark to purchase healthcare company I-Flow in deal valued at about $276 million

Kimberly-Clark to buy I-Flow in $276M deal

DALLAS — Kimberly-Clark says it will add higher-margin medical devices to its healthcare unit by buying healthcare company I-Flow Corp. in a cash deal valued at approximately $276 million.

Kimberly-Clark Corp., maker of Huggies diapers and Kleenex tissues, will start a tender offer to buy all of Lake Forest, Calif.-based I-Flow’s outstanding stock at $12.65 per share. The price represents an 8 percent premium to I-Flow’s Thursday closing price of $11.76.

Both companies’ boards have unanimously approved the deal, which is targeted to close in the fourth quarter.

Kimberly-Clark’s health care unit provides products and educational resources to help prevent, diagnose and manage various healthcare-related infections.

On Monday, Dallas-based Kimberly-Clark said it purchased Baylis Medical Co.’s pain management business for an undisclosed sum.