Wayne, Pa.-based medical device company Teleflex Inc. plans to acquire NeoTract Inc., manufacturer of the UroLift System, a minimally invasive urological medical device. The company plans to fund the initial $725 million price with revolver drawing, and plans to fund up to an additional $375 million of milestones with cash flow over the next few years. Although we view the transaction as incrementally beneficial to Teleflex's scale and diversification, we expect adjusted debt leverage to rise materially to about 4x for 2017 and 3.3x for 2018, from about 1.6x for fiscal year ended December 2016, and above the 2x-3x range, we generally associate with our 'BB+' rating on Teleflex. We are affirming our 'BB+' long-term corporate credit rating on Teleflex,
