Boyu Agrees to Buy $600 Million Medical Device Maker Quasar

Buyout firm Boyu Capital has agreed to acquire Quasar in a deal that values the medical device maker at more than $600 million, people familiar with the matter said, marking another transaction in the health-care sector which has become a rare bright spot for dealmakers.

(Bloomberg) — Buyout firm Boyu Capital has agreed to acquire Quasar in a deal that values the medical device maker at more than $600 million, people familiar with the matter said, marking another transaction in the health-care sector which has become a rare bright spot for dealmakers.

Boyu has emerged as the buyer for Hong Kong-based Quasar after beating out other suitors including companies in the industry and other private equity firms, the people said, asking not to be identified because the matter is private. A transaction has the support of Quasar’s global health-care customers and is expected to close soon, the people said.

Quasar’s owner Longreach Group has been considering a sale of its majority stake in the business after other industry players and investment firms showed interest, Bloomberg News reported in October. It was seeking a valuation of about $300 million to $400 million for the business. Representatives for Boyu and Longreach didn’t immediately respond to requests for comment.

The Quasar deal is adding to the momentum of health-care dealmaking despite a global slump in mergers and acquisitions. Transaction volumes in Asia Pacific for the sector in 2023 to date are down 11% versus the same period last year, according to data compiled by Bloomberg. That’s a smaller decline than the 37% year-over-year drop for dealmaking as a whole within the region.

Established in 1988 in Israel, Quasar is a contract development and manufacturing organization that makes minimally invasive devices, catheters and sensors, according to its website. The company has six manufacturing operations and more than 3,000 employees globally.

Longreach, an investment firm with a focus on Japan and Greater China upper mid-market buyouts, purchased a majority stake in Quasar from the founding family in 2019 for an undisclosed amount. Under its ownership, the company has expanded both organically and via acquisitions.

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