JNJ continues to pay hefty integration charges on Synthes deal
October 16, 2014 by Brian Johnson
The cost of integrating its most recent mega-merger are adding up for healthcare giant Johnson & Johnson, which this week revealed another $167 million hit to the bottom line from its $21.3 billion buyout of Synthes in the winter of 2012.
The latest charge brings the total price tag of integrating the companies to $800 million over the last 7 quarters, almost as much as the $899 million in special charges the company paid in 2012, the year it closed the deal. Read more
Stryker: Mako sales not as strong as we hoped
October 17, 2014 by Brian Johnson
Stryker officials said this week that the company is still trying to overcome hurdles integrating Mako Surgical into its existing sales force, resulting in some lackluster performance for surgical robotics firm Stryker paid $1.7 billion for last year.
During an earnings call Stryker vice president of strategy Katherine Owen said the Mako integration process has been challenging and suggested executives may have been overly optimistic in their earlier assessments about how quick their hospital customer’s would adopt the technology. Read more
ConvaTec owners appoint banks to explore sale: sources
October 15, 2014 by MassDevice
ConvaTec’s owners have appointed Morgan Stanley and Goldman Sachs to explore a sale of the medical device maker which could be worth up to $10 billion, sources familiar with the matter said.
Private equity firms Avista Capital Partners and Nordic Capital are preparing the groundwork for a possible sale or initial public offering in 2015 for the Luxembourg-based company, said the sources who spoke on condition of anonymity because the process is private. Read more
BD buys Irish next-gen sequencing startup GenCell Biosystems
October 15, 2014 by Alexander Soule
Becton Dickinson & Co. acquired GenCell Biosystems, an Irish startup with a system to automate the creation of “libraries” that help scientists sequence gene information.
In separate BD news, the company reportedly is laying off 60 workers at a San Jose, Calif., facility where it employs nearly 1,000 people. Read more
Valeant says may raise Allergan bid; beats on profit
October 20, 2014 by MassDevice
Valeant Pharmaceuticals said on Monday that it may raise its bid for Botox maker Allergan after the Canadian company posted a better-than-expected quarterly profit.
Valeant CEO Michael Pearson said a possible revised stock and cash bid would be worth more than $200 per share, assuming that Valeant’s stock rises, and would include more cash. The current bid is worth about $52.7 billion or $176 per share. Read more
