The $37-per-share offer for LDR, which makes the Mobi-C cervical disc replacement and Mivo lumbar and cervical fusion devices, is slated to expire at midnight July 13; today Zimmer said it expects to close the deal during the 3rd quarter.
Zimmer Biomet has said it doesn’t expect the deal to affect its sales outlook, with adjusted earnings per share likewise unaffected until accretion kicks in after 2017; the company said it plans to issue updated guidance once the acquisition closes.
At that point LDR would be folded into Zimmer Biomet’s spine & CMF business, led by president Adam Johnson. LDR CEO Christophe Lavigne and LDR co-founder and GM Patrick Richard will remain with the company in “key leadership positions” within the spine biz, Warsaw, Ind.-based ZBH said when the LDR deal was announced.
Zimmer Biomet said it’s financing the buyout with cash and a revolving credit facility; a senior notes offering worth $750 million is also in the offing.
In March, Zimmer Biomet said it closed its buyout of Cayenne Medical and its soft tissue reconstruction devices for an unspecified amount. Scottsdale, Ariz.-based Cayenne makes devices for knee and shoulder repair, including the AperFix II, CrossFix II and iFix knee ligament reconstruction and meniscal repair devices and the Quattro device for rotator cuff and labral repairs. Cayenne buried the hatchet with rival MedShape last week after a review board found the terms of its soft tissue anchor patent to be “indefinite.”
Earlier this month Zimmer Biomet closed its acquisition of Compression Therapy Products for an undisclosed amount.