Drug and medical device maker Covidien PLC, with a North Haven surgical-tools plant, said Monday that it will buy privately held Barrx Medical Inc. for about $325 million, The Associated Press reports.
Barrx, based in Sunnyvale, Calif., makes a device that uses radio frequencies to treat Barrett’s esophagus syndrome, a precancerous condition that is often the result of heartburn and can lead to esophageal cancer.
Covidien, based in Dublin, said the deal includes additional milestone payments, and it expects to complete the acquisition by Jan. 31. The company said the deal won’t have a significant effect on its sales in fiscal 2012.
Shares of Covidien lost $1.21, or 2.7 percent, at $44.40 amid a broad market sell-off.
