Eye care specialist Cooper Companies (NYSE: COO ) is getting into the med-tech merger game and not just as a "me too" player. The company's acquisition of Sauflon Pharmaceuticals
carries a steep price at nearly six times forward revenue, but the
company is filling out its silicone hydrogel product line and advancing
its position in this market by years. Although I continue to believe
that Cooper would be well-served to either grow its ob/gyn and fertility
businesses or divest them, it's hard to argue with a company generating
double-digit growth and double-digit returns on capital.
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Up 8%: Does Cooper Companies Inc's Buyout Make Sense?
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