10 Dec 2013, BioSpectrum Bureau , BioSpectrum
Singapore: Pharmaceutical firm Covidien plans to acquire all of the outstanding shares of Given Imaging for $30.00 per share in cash, for a total of approximately USD860 million, net of cash and investments acquired.
This transaction provides Covidien additional scale and scope to serve the multibillion dollar global gastrointestinal (GI) market and supports the Company's strategy to comprehensively address key global specialties and procedures.
Given Imaging provides technology platforms for visualizing, diagnosing and monitoring the digestive system, including its flagship PillCam, an innovative swallowed capsule endoscope.
"We believe GI is one of the most attractive specialty procedure areas. Acquiring Given will enable Covidien to significantly expand its presence in a $3 billion GI market," said Mr Bryan Hanson, Group President, Medical Devices and US, Covidien. "Adding Given's portfolio of diagnostics to our portfolio accelerates Covidien's strategy of providing physicians with products that support the patient along the care continuum from diagnosis to treatment. It also confirms our leadership in developing less-invasive screening, diagnosis and treatment solutions that can improve patient outcomes and lower healthcare costs."
"Given Imaging revolutionized GI diagnostics over 12 years ago with the launch of PillCam and created an entirely new diagnostic category, capsule endoscopy. The combination of Covidien's established global presence and Given Imaging's innovative capabilities has the potential to transform this market," said Mr Homi Shamir, President and CEO, Given Imaging. "After thoroughly evaluating our strategic options we determined that this transaction is in the best interests of Given Imaging, its shareholders and employees and provides unique benefits to patients globally."