Zimmer Aquires Biomet Inc. in a Deal Valued at $13.35 Billion
Two big providers of orthopedic, surgical and dental products combine
BIOMET 3i and Zimmer Dental are combining operations in Biomet’s original Palm Beach Gardens, Fla. location following the recent merger of the two companies in June that formed Zimmer Biomet Holdings.
“Zimmer Biomet’s Dental Division is the largest dental implant company in the United States,” said General Manager David Josza. “To strengthen our market position, we will continue investing in the best people, who can join us in advancing the field of clinical dental technology.” Zimmer Biomet will retain 473 positions at the Florida location, and plans to hire more than 150 additional employees over the next three years.
The sale was announved and set for completion within three days. The combined companies, Zimmer Biomet Holdings will begin trading on the New York Stock Exchange and SIX Swiss Exchange under the ZBH ticker symbol beginning on June 29.
Zimmer Biomet’s portfolio of dental products includes implant and abutment technologies, digital patient-specific solutions, drills, regenerative materials and other ancillary dental components. The Dental Division holds nearly 1,000 professional medical education courses each year, and operates training institutes at locations around the world. They will now be the leading innovator in the $45 billion musculoskeletal healthcare market, committed to creating innovative solutions for the evolving global healthcare industry.
This merger paves the way for the consolidation of the pharmaceutical and medical technology sectors.
In a cash-and-stock deal valued at $13.35 billion, two of the biggest providers of orthopedic, surgical and dental products approved the deal, expecting to make about one and a half times their original investment.
The new company estimates constant currency revenue growth, and will provide further financial information on the transaction and expectations for the balance of fiscal 2015. Zimmer Biomet says they expect to reach net annual sales of around $350 million by the third year. The merger brings the number of Board of Directors to 12 members. "We welcome them to the Board and look forward to their contributions," said Larry Glasscock, Chairman of the Board.
The company rolled out a new logo, designed to utilize the visual components of both legacies and brands. The newest tagline, "Your Progress. Our Promise," is meant to underscore the longstanding commitment to helping people live better lives. "The coming together of Zimmer and Biomet is a momentous achievement," said Zimmer Biomet President and CEO David Dvorak. "We are excited to move forward as one company and to pursue new opportunities that benefit patients, healthcare professionals and employees around the globe."
Due to regulatory requirements, products will continue to be sold under Zimmer Dental Inc. and Biomet 3i LLC brands, respectively, until further notice.