Johnson & Johnson elected not to raise its bid for Giant, making Boston Scientific the winner of the bidding war over the device manufacturer. Giant officially accepted the $27.2 billion deal this morning. Under the terms of the agreement, Boston Scientific agreed to sell off Guidant's vascular intervention and endovascular business to Abbott Laboratories to address a potential regulatory roadblock to the deal. The deal must still be approved by regulators.
- see this article from The Boston Globe
- see this article from The Wall Street Journal (sub. req.)
ALSO: Potential takeover target St. Jude said its fourth-quarter profits were down 96 percent on acquisition-related charges. Sales of heart defibrillators are up 60 percent at the company over a year ago, however. Article
PLUS: The timing of the Guidant deal looks good for Abbott Labs, which announced disappointing fourth-quarter results on sluggish drug sales. Article