Asahi Kasei closes $2.3B tender for Zoll Medical

April 23, 2012 by MassDevice staff

Asahi Medical completes the first stage of its $2.3 billion acquisition of Zoll Medical, paying $93 apiece for 93.8% of Zoll's outstanding shares and launching a 3-day offering period for the rest.

Zoll Medical logo

Chelmsford, Mass.-based resuscitation device maker Zoll Medical (NSDQ:ZOLL) sealed the deal with Japan's Asahi Kasei Corp. (TYO:3407) over the weekend.

Asahi, through a U.S. subsidiary, paid $93 apiece for about 21 million outstanding shares of ZOLL common stock, a price tag of about $1.95 billion so far for 94% of the company's outstanding stock.

The per share offer was a 29.6% premium on the stock's 30-day volume-weighted average at the time the merger was announced last month, when shares were trading around $73-$75 on Wall Street.

Sign up to get our free newsletters delivered right to your inbox.

News of the tender offer sent ZOLL soaring 23.5% to $92.74 in morning trading on Monday, March 12.

"We believe that Asahi Kasei will provide the right kind of support to help launch Zoll's next phase of growth, and we are excited to be working together with Asahi Kasei," Zoll CEO Richard Packer said at the time. "We expect all parts of Zoll to continue to thrive as part of Asahi Kasei."

ZOLL shares were up to $92.96 as of market open today. The company will be delisted from the Nasdaq stock exchange once the merger closes, if not sooner, according to regulatory filings.