Medtronic offers EU concessions in $43 billion Covidien deal (Reuters)
U.S. medical device maker Medtronic Inc has offered concessions in a bid to secure European Union regulatory approval for its $43 billion acquisition of Irish rival Covidien Plc, the European Commission said.
The takeover will put Medtronic on about the same footing as global leader Johnson & Johnson and reduce its overall global tax burden, although it has said the takeover is not an “inversion” deal for tax reasons.
Medtronic submitted concessions last Friday, the EU antitrust authority said. The Commission, which did not provide details in line with its policy, will decide by Nov. 28 whether to clear the deal.
Covidien said on Nov. 3 that it would sell its Stellarex drug-coated angioplasty balloon platform to Spectranetics, contingent on the close of the transaction with Medtronic.
Last month, Covidien said it would sell certain projects related to its vascular therapies product line and technology in order to win U.S. approval for the deal.
Medtronic, which makes heart devices, spinal implants, insulin pumps and other products, expects to close the deal in early 2015.
(Reporting by Foo Yun Chee; Editing by David Holmes and Grant McCool)