History of Welch Allyn & Hillrom Merger
Back in 2015, two of the world’s leading healthcare technology companies joined forces to push forward leading-edge solutions designed to advance patient care around the globe. This meant that after more than a century of family ownership, Welch Allyn was acquired by Hill-Rom Holdings Inc., with the understanding that the well-known brand would be preserved.
On the surface, the merger saw Welch Allyn shareholders receive $1.625 billion in cash and 8.1 million shares of Hill-Rom stock. However, the acquisition was also a big boost to both brands, allowing them to pool resources and continue to provide best-in-class patient care in leading hospitals and operating rooms everywhere, further consolidating Hill-Rom’s position as one of the most trusted and reliable medical device providers in the world.
But how did this merger come about, and what was the reasoning behind it? Here, we look at the history of the Welch Allyn and Hill-Rom merger and what it means for the future of the global medical device industry.
From Family-Owned to Multinational
Welch Allyn has been a family-owned company since its founding in 1915, with its owners remaining fiercely private during that time. However, around 15 years ago the company allowed non-family members to begin managing the company, a step that saw the Allyn’s relinquish some control while still remaining owners. This was the first time that nonfamily members had been allowed to take control of the company, and it’s implications would set lay the path for this latest development.
The introduction of outside influences was part of a larger vision of growth, and since 2014 it has worked to make that vision a reality, acquiring a number of companies including, Florida-based PediaVision Holdings LLC (portable vision screening devices), Omaha-based HealthInterlink LLC (software enabling remote monitoring of vital signs), and Scale-Tronix (medical scales and weighing systems) among many others.
However, while Welch Allyn has sold products to around 200,000 doctors and 6,000 hospitals over the years, it became increasingly clear that smaller companies would no longer be able to compete within a global medical industry increasingly dominated by larger multinationals, and the decision was made to sell the company in order to continue growing.
Today, by combining the expertise of Welch Allyn with the reach of Hill-Rom, the brand is going from strength to strength, continuing to design and develop cutting edge medical technology without turning its back on a hard-earned reputation that spans more than a century. In essence, the merger means Hill-Rom now has the opportunity to offer complete medical solutions, through the use of Welch Allyn diagnostic equipment and software, to more people around the world.
Welch Allyn joins other recent acquisitions such as Allen Medical, Liko, Mortara, Trumpf Medical, Voalte, Breathe Technologies and Excel Medica as part of the Hill-Rom family, and with a proven track record of improving and integrating innovative technologies and healthcare solutions, the next century looks bright for both brands and the healthcare industry as a whole.
Welch Allyn Hill-Rom Products at Medshop
Here at Medshop, we have a broad range of Welch Allyn products and accessories including top-of-the-range stethoscopes, blood pressure monitors, sphygmomanometers and much more. Rest assured that, despite recent changes in the company’s status, you can still expect the same high-quality equipment, with durability, reliability, and accuracy remaining core features of anything manufactured under the Welch Allyn name.
Part of the reasoning behind the Allyn’s decision to sell the company, was that its branding and trusted reputation would remain intact, and you will continue to find familiar Welch Allyn products in trusted medical supply stores around the world. Discover Medshop’s range of Welch Allyn products here, or contact a member of the team today to discuss your specific requirements.