Citigroup (NYSE:C) Likes Danaher (NYSE:DHR), Beckman Coulter (NYSE:BEC) Deal

The announcement by Danaher Corp. (NYSE:DHR) that they're going to acquire Beckman Coulter (NYSE:BEC) for $5.87 billion, is considered a good deal by Citigroup (NYSE:C)

Danaher Corp. is a maker of medical and industrial instruments. Beckman Coulter makes medical testing instruments for the market.

Citigroup Investment Research analyst Deane Dray said in a note to clients that the deal was a good one, citing the price as being reasonable, and it being a "nice fit" for both companies. Excluding the acquisition costs, Dray noted the deal will immediately generate profits for Danaher.

Terms of the acquisition are for Danaher to pay $83.50 for each Beckman Coulter share. Danaher valued Beckman Coulter at $6.8 billion including debt obligations and cash on hand.

The deal has to be approved by a majority of Beckman Coulter shareholders before it goes forward. Assuming that, it should close some time in the first half.

Danaher was trading at $49.09, gaining $1.11, or 2.31 percent, as of 2:57 PM EST. Beckman Coulter was trading at $82.50, gaining $7.33, or 9.76 percent.