Shares of Nordson Corporation (NDSN) are soaring 7.21% in pre-market trading on Thursday, following the announcement that Quasar Medical will acquire Nordson's design and development contract manufacturing businesses in Galway, Ireland, and Tecate, Mexico. The deal, expected to close in the third quarter of 2025, aims to expand Quasar's global CDMO (Contract Development and Manufacturing Organization) footprint with FDA-registered, ISO-certified facilities.
The acquisition is set to enhance Quasar's capabilities in complex balloon and catheter design, rapid prototyping, and cost-effective device assembly. While financial terms were not disclosed, investors appear to view the deal positively, likely seeing it as a strategic move for Nordson to focus on its core businesses and potentially improve its overall financial position.
This news comes on the heels of Nordson's strong financial performance for fiscal year 2024, where the company reported revenue of $2.7 billion with a 6% sales growth. Nordson maintained robust profitability with an EBITDA margin of 30% and gross margins of 55%. The company's solid financials, coupled with its strategic divestment, seem to be driving investor confidence, resulting in the significant pre-market stock surge.
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