Log In Get Started
Stock Markets April 14, 2026 12:52 PM

Avanos Medical Agrees to $1.27B All-Cash Buyout by AIP; Shares Jump Nearly 70%

Deal prices Avanos at $25.00 per share and moves company toward private ownership, subject to shareholder and regulatory approvals

By Sofia Navarro AVNS
Avanos Medical Agrees to $1.27B All-Cash Buyout by AIP; Shares Jump Nearly 70%
AVNS

Avanos Medical has reached a definitive agreement to be acquired by affiliates of American Industrial Partners in an all-cash deal valuing the company at approximately $1.272 billion. The transaction sets a $25.00-per-share cash price and sent Avanos stock up 69.8% on the day of the announcement. The deal, unanimously approved by Avanos’ board, is expected to close in the second half of 2026 pending customary conditions.

Key Points

  • Avanos agreed to be acquired by affiliates of American Industrial Partners in an all-cash transaction priced at $25.00 per share.
  • The per-share price represents roughly a 72.1% premium to Avanos’ closing price on April 13 and an 82.8% premium to its 30-day VWAP for the period ended April 13; the stock rose 69.8% on the announcement.
  • The transaction values Avanos at an enterprise value of about $1.272 billion, has unanimous board approval and is expected to close in the second half of 2026 pending customary approvals. Sectors impacted include healthcare/medical devices and public equity M&A activity.

Shares of Avanos Medical Inc. jumped sharply after the company disclosed a definitive agreement under which affiliates of American Industrial Partners (AIP) will acquire the company in an all-cash transaction.

The purchase price in the agreement is $25.00 in cash for each Avanos share. That per-share consideration represents a roughly 72.1% premium to Avanos' closing stock price on April 13, the last full trading day before the announcement, and an approximately 82.8% premium to the company’s 30-day volume-weighted average share price through the period ended April 13.

Avanos' stock climbed 69.8% on the day the transaction was disclosed. The arrangement places Avanos at an enterprise value of about $1.272 billion.

The company’s board of directors unanimously approved the acquisition. Completion is expected in the second half of 2026 and remains subject to customary closing conditions, including approval by Avanos stockholders and receipt of required regulatory approvals. The agreement is not contingent on financing.

Avanos Board Chair Gary Blackford described the deal as "a milestone for Avanos that reflects the strong momentum across the business." The board stated it believes the transaction will maximize value for stockholders, create new opportunities for employees, and position the company for long-term growth.

Once the acquisition is finalized, Avanos will become a privately held company and its common stock will no longer be listed on the New York Stock Exchange. The firm will continue to be headquartered in Alpharetta, Georgia.

J.P. Morgan Securities LLC is serving as lead financial advisor to Avanos. Alston & Bird, LLP is acting as legal counsel to Avanos, while Sidley Austin LLP is serving as legal counsel to American Industrial Partners.

Context and next steps

  • The deal is structured as an all-cash acquisition at $25.00 per share.
  • It has board approval and is scheduled to close in the second half of 2026, subject to customary approvals.
  • Following closing, Avanos shares will be delisted from the NYSE and the company will operate as a private entity, retaining its Alpharetta headquarters.

Financial and advisory details

  • The transaction values Avanos at an enterprise value of approximately $1.272 billion.
  • J.P. Morgan Securities LLC is the lead financial advisor to Avanos.
  • Legal counsel to Avanos: Alston & Bird, LLP. Legal counsel to AIP: Sidley Austin LLP.

Risks

  • The acquisition remains subject to customary closing conditions, including approval by Avanos stockholders and regulatory approvals - the outcome and timing of which are not guaranteed.
  • Although the deal is not conditioned on financing, regulatory review or shareholder votes could delay or prevent completion, affecting timing for markets and stakeholders.
  • Until the transaction closes and Avanos’ stock is delisted from the NYSE, the company remains exposed to market dynamics that could influence the path to closing.

More from Stock Markets

Labor Authority Fines Codelco After Deadly El Teniente Rock Burst; Contractors Receive Heavier Sanctions Apr 14, 2026 U.S. Food Companies Face Tepid Volume Growth Even as Valuations Look Cheap Apr 14, 2026 Wall Street Scrutinizes Private Credit Amid Outflows and AI-Related Risks Apr 14, 2026 Kirby Takes Merger Pitch to the White House, Proposes Union with American Airlines Apr 14, 2026 Shares of Figma and Web-Service Providers Slide as Anthropic Readies AI Web Design Tool Apr 14, 2026