Allied Healthcare International to Be Acquired by Saga Group Limited for $3.90 per Share

Allied Healthcare International Inc.

announced that it has entered into a definitive agreement to be acquired by Saga Group Limited for $3.90 per share, which represents a premium of 59% to Allied's closing price on July 28, 2011 of $2.45. The aggregate purchase price for all outstanding shares of Allied common stock, including outstanding options, will be approximately $175 million. The terms of the agreement were unanimously approved by Allied's Board of Directors. The transaction is not subject to a financing condition. Completion of the transaction is subject to the approval of Allied's shareholders and certain other terms and conditions customary for transactions of this type, including regulatory approvals. Completion of the transaction is expected to occur in the fourth calendar quarter of 2011.