TE Connectivity Ltd. (NYSE: TEL), a maker of equipment used in harsh environments, agreed to buy health-care device company Creganna Medical from buyout firm Permira Advisers for $895 million in cash.

The purchase will add about 3 cents a share to TE Connectivity’s adjusted earnings in the first full year after the acquisition is completed, the Schaffhausen, Switzerland- based company said in a statement Tuesday.

Creganna, based in Ireland, designs and makes gear for medical-device manufacturers. The company had sales of about $250 million last year, TE Connectivity said.

Morgan Stanley provided financial advice to TE Connectivity, while Davis Polk & Wardwell LLP served as legal adviser. Piper Jaffray acted as financial adviser to Permira and Skadden, Arps, Slate, Meagher & Flom LLP was legal adviser.

TE Connectivity, which was spun off from Tyco International Plc in 2007, last year sold a business that makes equipment for communications networks to CommScope Holding Co. for $3 billion. TE’s remaining businesses focus on sensors and equipment that works in extreme environments.

Founded in Ireland in 1979 as an engineering outsourcing company, Creganna has specialized solely in medical devices since 2003, the company said on its website. Permira acquired Creganna in 2010 in a transaction that valued the company at 223 million euros. Since then, Permira has expanded company through acquisitions, as well as increased sales in high-growth markets, the private equity firm said on its website.

Medical device deals in the middle-market continues to pick up. Conmed Corp. (NASDAQ: CNMD) is purchasing SurgiQuest; Medtronic plc (NYSE: MDT) bought PE-backed Bellco; Stryker Corp. (NYSE: SYK) is adding Sage Products

-- Additional reporting by Demitri Diakantonis


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