Merit Medical Systems, a manufacturer and marketer of disposable devices used in cardiology, radiology and endoscopy, has entered into a stock purchase agreement to acquire Thomas Medical Products from GE Healthcare for $167 million.

Malvern, Pa.-based Thomas Medical designs and manufactures catheter-based vascular access delivery devices for diagnostic and therapeutic procedures in electrophysiology, cardiac rhythm management, interventional cardiology and interventional radiology applications. 

Merit of South Jordan, Utah, said that it intends to finance the full amount of the purchase price through the expansion of Merit's existing credit facility to $275 million, which Wells Fargo Bank has committed to provide in a single bank transaction. Merit expects the acquisition to be immediately accretive to its net earnings on a non-GAAP basis, adjusted for deal costs, one-time purchase accounting directives and amortization of intangibles. Merit also expects it will be able to take advantage of tax benefits with approximately $43 million of net present value.

The transaction has been approved by Merit's board of directors and is subject to the satisfaction or waiver (in accordance with the provisions of the stock purchase agreement) of certain closing conditions. Merit expects the deal will close before the end of the year.