Biomet has begun a gradual process to complete its $280 million cash bid for the global trauma business of DePuy Orthopaedics, a Johnson & Johnson-owned ($JNJ) company.
What that announcement likely means, in turn, is that the closure of J&J's $21.3 billion bid to buy Swiss orthopedic devicemaker Synthes is imminent. J&J agreed to sell the DePuy global trauma business to DePuy to satisfy European regulatory concerns about the Synthes buyout. And earlier this week, the FTC said it would approve the deal if J&J would sell its DVR system for surgically treating wrist fractures, also to Biomet.
Biomet's is initially taking over DePuy Trauma's U.S., U.K., Australia, New Zealand and Japan operations, according to its announcement, plus a manufacturing facility in Switzerland. This portion of the purchase kicks in June 16. Over the next six months, however, Biomet will close the acquisition in the remaining affected countries on a staggered basis. Talk about dragging things out.
- read the release