Samsung set to buy medical firm Medison: source

SEOUL (BestGrowthStock) – Samsung Electronics Co (005930.KS: ) is set to acquire a controlling stake in South Korean medical equipment company Medison, a source said on Tuesday, in a deal reportedly worth over 300 billion won ($262 million).

Samsung, the world’s largest memory chip maker, said the deal is in the final stage and the company would decide on Tuesday whether to buy the firm, which makes ultrasonic medical equipment.

Private equity fund Consus Investment is selling an about 40 percent stake in Medison and has hired JP Morgan to advise the sale.

“The two sides have been discussing the deal since last night and the announcement is expected soon,” the source who had direct knowledge of the deal said.

If confirmed, Samsung will beat out tobacco company KT&G Corp (033780.KS: ) and SK Holdings Co Ltd (003600.KS: ) and the deal would mark its latest push to new businesses areas such as healthcare and green energy technology that it is targeting for growth.

South Korea’s big business conglomerates are making a big push toward healthcare and renewable energy in their search for new growth engines.

Medison competes with General Electric Co (GE.N: ). Philips Electronics (PHG.AS: ), Simens AG (SIEGn.DE: ) and Toshiba Corp (6502.T: ).

(Reporting by Lee Chang-ho and Hyunjoo Jin, Writing by Miyoung Kim; Editing by David Chance)

Samsung set to buy medical firm Medison: source