CooperVision Acquires Paragon Vision Sciences, Adding to Growing Myopia Management Business

By


PLEASANTON, Calif.—CooperVision, Inc., a division of The Cooper Companies (NYSE:COO), has acquired Paragon Vision Sciences, a leader in premium orthokeratology (ortho-k), specialty contact lenses and oxygen permeable rigid contact lens materials.

The transaction is valued at approximately $80 million and is expected to be neutral to earnings per share in fiscal 2018 excluding one-time charges and deal-related amortization, according to a statement released by The Cooper Companies. Paragon had trailing 12-month revenues of approximately $15 million and is forecasted to grow low double digits over the coming years, according to The Cooper Companies’ announcement.

Commenting on the transaction, Robert S. Weiss, Cooper’s president and chief executive officer said, “The acquisition of Paragon strengthens CooperVision’s industry-leading specialty lens business through the addition of several successful products which will be a great fit within our existing product portfolio.”

The transaction further enhances CooperVision’s global eyecare expertise, and includes Paragon’s widely used CRT contact lenses, worn while sleeping, that treat myopia (nearsightedness). The acquisition also expands CooperVision’s access to the Chinese myopia management market, in which Paragon has a presence.

“Collaborating with Paragon not only provides an opportunity to grow our myopia management presence worldwide, but also deepens and broadens the way in which we help improve the way people see each day,” said Andrew Sedgwick, executive vice president, strategy & business development, CooperVision, who oversees the company’s specialty business.

Paragon, headquartered near Phoenix, Ariz., will continue to operate as an independent yet complementary business, retaining its offices and brands, according to a statement from CooperVision. Customers should continue to work with their current representatives.

Rich Jeffries, president of Paragon, will remain with the company, responsible for its day-to-day operations. “This strategic acquisition benefits our employees, eyecare professionals and patients around the globe,” said Jeffries. “By combining CooperVision’s considerable resources and expertise with Paragon’s technologies, materials and presence in markets, such as China, we’ll accelerate the fight against myopia, which is expected to affect half the world’s population by 2050.”

Former Paragon CEO Joe Sicari, a well-known industry veteran, will become a consultant to CooperVision.

CooperVision acquired specialty contact lens leaders Soflex and Procornea in 2016 and 2017, respectively.