Synthes Looked For Deal Amid View Of Tough Orthopedics Market (Wall Street Journal)
Synthes board saw more challenging orthopedic-device market as the board evaluated sale offers
Synthes considered offers from private equity
J&J eventually offered to acquire Synthes for $21.3B
Synthes Inc.'s board saw challenges that would weigh on growth in the orthopedics-device market as the company engaged in a sale process that eventually led to a $21.3 billion deal with J&J.
Synthes prepared long-term internal projections--excluding any unanticipated future events, like an acquisition--that suggested sales and earnings growth will slow from recent levels, according to a 305-page regulatory filing J&J made with the SEC late Thursday.
The filing cautions against comparing the long-term financial outlook to Wall Street estimates, but it nonetheless offers insight into the process leading to the Synthes purchase announced in April.
It shows Synthes adviser Credit Suisse spoke with several potential strategic buyers and private equity firms, but J&J was ultimately competing against a no-binding offer from a group of three private-equity firms that offered a lower price f...
