MINNEAPOLIS AND DUBLIN – In a deal that reverberated from the land of 10,000 lakes to the emerald isle, Dublin-based Medtronic Inc acquired Covidien, Minneapolis, in a cash-and-stock transaction valued at $93.22 per Covidien share, or a total of approximately $42.9 billion.
Once the transaction is completed, Medtronic will have significantly advanced its position as an international medical technology and services company. The combined company will have a comprehensive product portfolio, a diversified growth profile, and broad geographic reach, with 87,000 employees in more than 150 countries.
The Boards of Directors of both companies have unanimously approved the transaction. “We are excited to reach this agreement with Covidien, which further advances our mission to alleviate pain, restore health and extend life for patients around the world,” said Omar Ishrak, chairman and CEO of Medtronic. “This acquisition will allow Medtronic to reach more patients, in more ways and in more places. Our expertise and portfolio of services will allow us to serve our customers more efficiently and better address the demands of the current healthcare marketplace. We also look forward to welcoming the Covidien team to Medtronic and working together to improve healthcare outcomes globally.”
“Covidien and Medtronic, when combined, will provide patients, physicians and hospitals with a compelling portfolio of offerings that will help improve care and surgical performance,” said José E. Almeida, chairman, president and CEO of Covidien. “This transaction provides our shareholders with immediate value and the opportunity to participate in the significant upside potential of the combined organization. I’d like to thank our 38,000 employees whose hard work and dedication has enabled Covidien to deliver innovative health solutions that improve patient outcomes.”