Danaher Makes $9.9B Move for Masimo

Danaher Corporation has entered into a definitive agreement to acquire Masimo Corporation, a medical technology company focused on pulse oximetry and patient monitoring technologies used mainly in acute care settings. The all-cash deal values Masimo at approximately $9.9 billion, including assumed debt and net of acquired cash.

Danaher will acquire all outstanding Masimo shares for $180 per share. The valuation is based on Masimo’s projected earnings, with expected cost and revenue synergies factored in.

Masimo develops noninvasive monitoring systems that measure vital signs such as blood oxygen saturation. Its core technology, pulse oximetry, estimates oxygen levels in the blood by analyzing how light passes through tissue, allowing for continuous monitoring without invasive procedures. These systems are commonly used in hospitals and intensive care units to support clinical decision-making for patients who require close physiological monitoring.

In addition to pulse oximetry, Masimo offers a broader range of patient monitoring solutions designed for high-acuity care environments. These technologies provide clinicians with real-time data to assess patient status and respond to changes in condition.

Following completion of the acquisition, Masimo will operate as a standalone company within Danaher’s Diagnostics segment. It will join other diagnostics businesses, including Radiometer, Leica Biosystems, Cepheid and Beckman Coulter Diagnostics. Danaher said the addition of Masimo is expected to strengthen its diagnostics portfolio by expanding its capabilities in sensor-based and AI-enabled patient monitoring, particularly in hospital and critical care settings.

Danaher expects Masimo to support long-term growth in its Diagnostics segment.

The transaction is expected to close in the second half of 2026, subject to customary closing conditions, including regulatory approvals and approval by Masimo shareholders. Danaher plans to fund the acquisition using cash on hand and proceeds from debt financing.

The medtech space has seen notable activity, including Stryker’s $4.9 billion acquisition of Inari Medical and Medtronic’s AI-focused partnerships with Brainomix and NVIDIA. Deloitte has pointed to increased portfolio reshaping and investment in AI capabilities as key themes for medtech companies.

Over the past year, BD completed the spin-off of its Biosciences & Diagnostic Solutions business and combined it with Waters Corporation, valuing the business at approximately $18.8 billion. In late 2025, Abbott said it would acquire Exact Sciences for about $21 billion, expanding its diagnostics portfolio into cancer screening and precision oncology.

Medical device coating and IVD company Surmodics said it was moving toward closing its acquisition by private equity firm GTCR after a US court denied regulators’ request to block the deal.

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