Covidien Plc’s Ev3 Acquisition: Details Regarding Takeover Deal

By Jamie Pert - Jun 1, 2010

We have recently heard that Covidien Plc have had a takeover bid accepted by the device maker Ev3, this deal is apparently worth $2.6 billion and will apparently see Covidien add heart disease related products to their product range.

At the moment Covidien offer a wide-range of medical-equipment, once this deal is complete they will offer products which treat disease of the arteries, products include angioplasty balloons, catheters, plaque removal systems and stents, this will give Cividien more dominance in the vascular surgery market, this may lead to entering the neurovascular market.

It is thought that the $2.6 million takeover bid was higher than many experts had predicted, apparently this is equal to 19 percent more than many believed Ev3 was worth on May 28th. This year ev3’s shares have soared by 67 percent this year, therefore it is not surprising that Covidien paid over-the-odds.

Apparently Covidien had been watching ev3 for years and acquisition talks had been going on several months, it is now thought that Covidien’s Chief Executive Officer Richard Meelia will now look for more acquisitions in an attempt to reshape the company.

To find out more in-depth information regarding the acquisition check out the source link below.

Source: BusinessWeek

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