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United States. Securities and Exchange Commission

Zimmer Holdings Inc. Receives Conditional Clearance from European Commission on Biomet Acquisition

Strategic Insights

— 1 min read

Zimmer Holdings Inc. has conditionally cleared its proposed acquisition of Biomet, Inc. after the European Commission ("EC") gave its conditional approval. The EC's clearance is contingent upon Zimmer divesting certain assets as part of a remedy package previously submitted. This development follows clearance from the Japan Fair Trade Commission, with the U.S. Federal Trade Commission and other customary closing conditions still pending. The transaction's closure is expected in April 2015, as part of a $13.35 billion cash and stock deal.

Key Takeaways:

  • Zimmer Holdings Inc. has received conditional clearance from the European Commission for its proposed acquisition of Biomet, Inc.
  • The clearance is contingent upon Zimmer divesting certain assets as part of a remedy package previously submitted to the EC.
  • The transaction remains subject to clearance by the U.S. Federal Trade Commission and other customary closing conditions.
  • Clearance from the Japan Fair Trade Commission has already been obtained.
  • The proposed acquisition will be completed in a cash and stock transaction valued at approximately $13.35 billion, including the assumption of net debt.
  • Zimmer notes that it is pleased with and encouraged by the progress to date with the overall regulatory process.
  • Patti bourquard and Jeff McCausland, Zimmer's Director of communications and General Manager and Region Head of Zimmer's Biomet Business, made statements on the acquisition.

Statistics:

  • The proposed transaction is valued at approximately $13.35 billion, including the assumption of net debt.
  • The clearance is contingent upon Zimmer divesting certain assets as part of a remedy package previously submitted to the EC.
  • April 2015 is the expected closure date for the transaction.
  • The transaction remains subject to clearance by the U.S. Federal Trade Commission and other customary closing conditions.

Sources:

  • Zimmer Holdings Inc., Form 8-K (urrent report), filed with Securities and Exchange Commission on March 30, 2015.
  • Zimmer Holdings Inc., Press Release issued by Zimmer Holdings, Inc., dated March 30, 2015.
  • "Zimmer Announces Clearance by the European Commission of the Pending Biomet Merger," Zimmer Holdings Inc., issued on March 30, 2015.

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