Stryker In Neverland: Firm Ups Focus On Averting Avoidable Events With Sage Acquisition

Stryker will pay nearly $2.8 billion to buy Sage Products and its portfolio of products to prevent health care "never events," which hospitals are increasingly motivated to avoid.

Stryker Corp. will pay $2.775 billion in cash for Sage Products Inc. to expand its portfolio of disposable products that can help hospitals reduce the incidence of so-called "never events," such as hospital-acquired infections.

Insurers are increasingly introducing financial incentives for hospitals to avoid preventable conditions, which are both detrimental to patients and very costly to the health care system. Stryker's Feb. 1-announced purchase...

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