WARSAW, Ind., Sept. 4 /PRNewswire-FirstCall/ -- Zimmer Holdings, Inc. (NYSE: ZMH; SWX: ZMH) announced that certain of its subsidiaries have agreed to acquire the Abbott Spine business from Abbott for approximately $360 million in cash. Zimmer said it expects to fund the purchase price from cash on hand and borrowings under existing credit facilities.
The acquisition is expected to close in the fourth quarter of 2008. The boards of directors of both companies have approved the transaction, which is subject to regulatory approvals and other customary closing conditions. Stockholder approval is not required. Abbott Spine had 2007 revenues of $109 million. Zimmer Spine's revenues for the same period were $197 million.
"This acquisition is another significant step in executing our strategies to position Zimmer for sustained growth in the future. We are excited to be adding a number of innovative products that round out the Zimmer Spine portfolio and help us build toward critical mass in this important business segment," said David Dvorak, Zimmer President and CEO. "In addition to bringing great products and a promising pipeline, the Abbott Spine acquisition will add to our research and development capabilities in the spinal category and will strengthen our sales coverage."
Abbott Spine was founded in 1996 and has U.S. headquarters in Austin,
Texas, and an international facility in Bordeaux, France. Throughout its
history, Abbott Spine has developed a series of innovative technologies and
techniques to treat spine disease. Among the key products are the
InCompass(R) Pedicle Screw System; the Pathfinder(R) Minimally Invasive
Pedicle Screw system; the Wallis(R) Interspinous Stabilizer System
(available outside the U.S.); the A
|SOURCE Zimmer Holdings, Inc.|
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