Medical device companies Abbott (NYSE:ABT) and Boston Scientific (NYSE:BSX) paid nearly zero in taxes during 2011, according to the Irish Times, part of a headline-grabbing scandal that’s put the Emerald Isle atop the list of global tax havens – much to its chagrin.
The news comes as Ireland’s Minister of State for European Affairs, Lucinda Creighton, heads to the U.S. this week on a trade mission. Ireland cuts no special deals for any company, Creighton told the U.S. Senate, but the high corporate tax rate in the U.S. drives firms to seek more advantageous tax structures elsewhere, she said, according to the newspaper.
"There is no doubt that some companies are taking advantage of the global legal and tax arrangements in a variety of jurisdictions," Creighton said. "That is not something that Ireland can solve on its own. It is not something that the US or Ireland can solve together."
Abbott’s Irish subsidiaries paid no taxes on the €2.9 billion in profits it reaped in Ireland during 2011, according to the Irish Times. Boston Scientific paid a mere €40 million (about $60 million) on its $1.4 billion in Irish profits, the newspaper reported. That’s a tax rate of just 4%.
Biosensors International closes $51M Spectrum Dynamics buy
Biosensors International (PINK:BSNRY) said it’s closed the $51 million buyout of Spectrum Dynamics and its technology to uncover and diagnose reversible ischemia ahead of stenting procedures. The deal calls for further cash earnouts pegged to "certain performance criteria" and for a joint venture to develop "future non-cardiac applications," Singapore-based Biosensors said.
Scanadu looks to crowd-source funding for "tricorder" Scout device
Scanadu launched a crowd-sourced funding drive on Indiegogo for its Scout device, billed as akin to the tricorder devices used on Star Trek to evaluate human health, in a bid to fund the gathering of enough usability data to back a 510(k) clearance from the FDA.
Philips Healthcare, InVive and Digirad land Defense Dept. deals
The U.S. Defense Dept. picked up an $88.5 million option on its contract with Philips Healthcare‘s (NYSE:PHG) informatics business for a digital imaging network-picture archive communication system. Orlando, Fla.-based InVive Corp. won an $11.9 million option on its DoD deal for radiology systems, subsystems, and components, while Digirad Corp. (NSDQ:DRAD) and the DoD inked their 4th option year on their deal for the same, worth some $10.9 million.
BTG picks up Ekos for up to $220M
British pharmaceutical company BTG agreed to shell out $180 million for Ekos Corp. and its thrombosis technology, plus another $40 million in possible milestone payments, according to Reuters.
- Abbott (NYSE:ABT): Jefferies reiterates "buy" rating, raises price target from $43 to $46.
- Abiomed (NSDQ:ABMD): Zacks upgrades from "neutral" to "outperform" rating, $26 price target.
- Align Technology (NSDQ:ALGN): Jefferies downgrades to "hold" from "buy" rating, $38 price target.
- Allergan (NYSE:AGN): SunTrust initiates coverage with “buy” rating.
- AthenaHealth (NSDQ:ATHN): Raymond James upgrades from “outperform” to “strong-buy” rating, raises price target to $100 from $95.
- Boston Scientific (NYSE:BSX): Piper Jaffray reissues "neutral" rating, $7 price target; Wedbush initiates coverage with "neutral" rating, $10 price target.
- Conceptus (NSDQ:CPTS): Raymond James downgrades from “outperform” to “market perform” rating, $26 price target.
- Cyberonics (NSDQ:CYBX): Canaccord Genuity lowers price target from $59 to $49, maintains “buy” rating; Jefferies lowers price target from $58 to $49, maintains “buy” rating.
- Haemonetics (NYSE:HAE): Goldman Sachs initiates coverage with “neutral” rating, $47 price target.
- Johnson & Johnson (NYSE:JNJ): Jefferies reiterates "hold" rating, raises price target from $90 to $97.
- LeMaitre Vascular (NSDQ:LMAT): Zacks downgrades from "outperform" to "neutral" rating, $6.90 price target.
- Medtronic (NYSE:MDT): Deutsche Bank reiterates "hold" rating, $51 price target; Piper Jaffray reiterates "overweight" rating, $58 price target; S&P Equity Research upgrades from "hold" to "buy" rating; TheStreet reiterates "buy" rating, A- ratings score; Wedbush initiates coverage with "neutral" rating.
- NxStage Medical (NSDQ:NXTM): Leerink Swann maintains “outperform” rating, $18 price target.
- Optos plc (LON:OPTS): Nplus1 Brewin upgrades to "hold" rating, lowers price target to £1.35 ($2.08) from £1.50 ($2.31).
- Pluristem (NSDQ:PSTI): MLV initiates coverage with "buy" rating, $4.50 price target.
- Shire (NSDQ:SHPGY):SunTrust initiates coverage with “neutral” rating.
- Smiths Group (LON:SMIN): Deutsche Bank downgrades from “buy” to “hold” rating, £14 ($21.18) price target.
- St. Jude Medical (NYSE:STJ): Canaccord Genuity downgrades to "sell" from "hold" rating, $35 price target.
- Teleflex (NYSE:TFX): William Blair initiates coverage with "outperform" rating.
- TranS1 (NSDQ:TSON): Piper Jaffray lowers price target from $4 to $3, maintains “overweight” rating.
- Wright Medical (NSDQ:WMGI): Summer Street upgrades from “neutral” to “buy” rating, $32.00 price target.