On Friday, infant-testing medical-equipment maker Natus Medical announced that it has acquired Astro-Med subsidiary and neurophysiological recording instruments manufacturer Grass Technologies Product Group. Grass specializes in the production of polysomnography and electroencephalography systems used in both clinical and research work.

In a press release on the acquisition, Natus clarified that it paid $18.6 million cash for Grass, or almost precisely the company's annual sales of $18.5 million. That represents a sizable discount to the 1.4 sales ratio Natus' own shares fetch.

Natus expects the acquisition to quickly become accretive on a pro forma basis, adding to earnings in both Q2 and full-year 2013.

Investors reacted positively to the news, bidding Natus shares up 1.8% Friday to close at $12.54.

The article Natus Buys Grass Technologies for $18.6 Million originally appeared on Fool.com.

Fool contributor Rich Smith has no position in any stocks mentioned. The Motley Fool recommends Natus Medical. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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