* Buys Gallipot for about $12.5 mln
* Looking to expand in South America, Canada, Europe
* Says U.S. market is growing strongly
(Adds details on acquisition price, expansion plans, shares)
AMSTERDAM, May 10 (Reuters ) - Belgian medical equipment and
services company Arseus NV RCUS.BR said on Monday it would buy
U.S.-based pharmaceutical supplies company Gallipot Inc. for
about $12.5 million in cash, its first step outside of Europe.
Arseus, which said it is targeting more acquisitions in
Europe and the Americas, said the acquisition of Gallipot by its
unit Fagron will add to its earnings per share in 2010 after its
consolidation, retroactive to April 1.
"I think it is a good starting point for more possibilities
in the U.S.," Chief Executive Ger van Jeveren told reporters of
the deal to buy the privately-owned Gallipot.
He added the company was also looking especially at South
American companies and expansion into Canada, alongside its
European acquisition plans, and was already involved in tying up
a few possible deals.
Chief Financial Officer Jan Peeters said Arseus paid a
little more than one times sales for Gallipot, which has about
$12.5 million in annual revenues. It had an earnings before
interest, tax, depreciation and amortisation (EBITDA) margin in
line with Arseus unit Fagron.
Arsues shares rose 8.4 percent to 8.90 euros at 0833 GMT on
Monday, in line with a sharp surge in the wider Belgian market.
Arseus -- whose products include dentists' chairs, surgical
instruments and pharmaceutical ingredients -- said the market
for pharmaceutical compounding in the U.S. has shown strong
growth in recent years and that this is expected to continue.
It estimated the market at $350 million to $400 million in
(Reporting by Aaron Gray-Block; Editing by Hans Peters)