Diagnostics M&A | Masimo Acquired by Danaher (~21.2x EBITDA / 6.5x Revenue)
- Will Hamilton
- Feb 17
- 2 min read
On February 17, 2026, Danaher Corporation (NYSE: DHR), a global science and technology innovator, announced a definitive agreement to acquire Masimo Corporation (NASDAQ: MASI), a leading specialty diagnostics provider of pulse oximetry and patient monitoring solutions, for $180 per share in an all-cash transaction representing a total enterprise value of approximately $9.9 billion, a premium of approximately 38% to Masimo's prior closing price.
Masimo is widely recognized for pioneering signal extraction technology (SET) pulse oximetry and has expanded its platform to include advanced non-invasive monitoring of multiple blood constituents, brain function monitoring, and hospital automation solutions. Following the close of the transaction, Masimo will operate as a standalone business within Danaher's Diagnostics segment alongside Radiometer, Leica Biosystems, Cepheid, and Beckman Coulter Diagnostics. The transaction is expected to close in the second half of 2026.
For Danaher, the acquisition represents a strategic expansion into patient monitoring technologies in acute care settings, a high-growth segment driven by hospital digitization and demand for real-time data at the point of care. Danaher projects Masimo will deliver high single-digit core revenue growth over the long term, generate more than $530 million in EBITDA by 2027, and produce over $125 million in annual cost synergies and more than $50 million in annual revenue synergies by the fifth full year following the acquisition.
Diagnostics / Diagnostic Tools EBITDA Multiples
According to the press release, the purchase price was $180/share, valuing the company at ~$9.9b. Revenue and adjusted EBITDA from the Q4 9/30/2025 earnings release.
Sources:
Diagnostics / Life Sciences Deal Volume
The number of announced diagnostics and life science deals appears to be on the upswing after a somewhat weak 2024. Deal volume is in the low 30s per quarter on 2024, which is just slightly below 2021 averages. Announced volumes dipped to an average of 29 per quarter in 2024. Diagnostic tools and life sciences have been the best performing subsectors, highlighting the broader positive trends in healthcare technology, while laboratories, equipment, and collection network M&A volumes have been weaker.
Other Diagnostics / Life Sciences Deals
Read Scope Research's take on other category M&A transactions:
About Scope Research
Scope Research compiles a variety of healthcare M&A databases. The Scope Research Healthcare M&A Valuation Database currently has financial details related to xx category transactions, including xx deals with disclosed EBITDA multiples. The data can be purchased individually, while our affordable annual subscriptions provide access to all of our healthcare M&A databases and segments, updated continuously.
Don't hesitate to reach out to Will Hamilton at will@scoperesearch.co with questions about your specific situation.
