Merger Creates Huge Medical Laser Firm

Lawrence Normie

YOKNEAM and TEL AVIV, Israel -- ESC Medical Systems Ltd. and Laser Industries Ltd. have announced a merger plan that would create an international heavyweight in the medical laser industry, with $185 million in projected 1997 revenues.
Both partners are major players in developing cosmetic and medical laser technology. ESC's pulsed light sources, lasers and other products are used in noninvasive cosmetic medical procedures and other applications in physicians' offices. Laser Industries uses laser-based technologies for skin resurfacing, hair removal, laser surgery and other applications in physicians' offices and hospitals.
Laser Industries markets more than 20 laser-based devices under the Sharplan trade name; it has an installed base of 12,000 laser systems and an international network for sales, marketing, distribution and manufacturing.

Global sales force
ESC's chairman, Dr. Shimon Eckhouse, said the merger enhances and strengthens the company's position in the cosmetic and medical marketplaces. The combined company will have one of the largest sales forces and a stronger global presence, he said.
The transaction is valued at approximately $270 million and is subject to shareholders' and regulatory approvals. The merger plan calls for an exchange of 0.75 ESC shares for each Laser Industries share. G