A week after issuing a profit warning and announcing 2,000 job cuts, Maplewood's 3M has struck the biggest acquisition in its history.
The manufacturer of Post-It Notes and all manner of other equipment announced Thursday it's reached an agreement to buy Acelity Inc. for a whopping $6.7 billion.
According to a company statement, Acelity is a leading global medical technology company, specializing in "advance wound care and specialty surgical applications" sold under the brand name KCI.
"Acelity is a recognized leading provider of advanced wound care technologies and solutions and an excellent complement to our Health Care business," said Mike Roman, 3M's CEO.
"This acquisition bolsters our Medical Solutions business and supports our growth strategy to offer comprehensive advanced and surgical wound care solutions to improve outcomes and enhance the patient and provider experience."
Acelity generates annual revenues of $1.5 billion, and will become part of 3M's already substantial medical solutions business.
The move from 3M comes just 7 days after the company saw its stock price plunge following the release of its Q1 results.
While it made a profit of $893 million, the company saw its sales drop by 5 percent year-on-year, and it prompted the announcement it would be cutting 2,000 jobs across its global operations.
Speaking to Bloomberg TV, per the Pioneer Press, Roman said the company had to act to "aggressively" reduce costs, noting it didn't take enough actions to prevent downturns n its automotive, electronics and Chinese operations.