Stryker buying Trauson for $764 million

KALAMAZOO, Mich. (AP) - Medical device maker Stryker is buying orthopaedic products maker Trauson Holdings Co. for $764 million in order to expand its business in China.

Stryker Corp. said Thursday that it will pay 7.50 Hong Kong dollars (97 cents) per ordinary share.

Privately held Trauson was founded in China in 1986. The company's 2011 sales were approximately $60 million.

Trauson's biggest shareholder, Luna Group, has agreed to tender 61.7 percent of the Trauson shares toward the offer, Stryker said. The acquisition is expected to close by the end of the second quarter.

The deal is expected to be neutral to Stryker's 2013 earnings per share, excluding acquisition-related charges. The transaction is anticipated to add to its earnings per share after that.