BIOMET BRIBERY CHARGES OVERSHADOW RUMORS OF EU ZIMMER ACQUISITION APPROVAL (Orthopedics This Week)
Timeline of DOJ versus Orthopedic Companies
Unnamed sources say European antitrust regulators have decided to give conditional approval to Zimmer Holdings, Inc.’s proposed $13.4 billion takeover of Biomet, Inc.
Reuters reported on March 18, 2015 that two people, “with knowledge of the matter,” informed the news organization of the pending approval. Zimmer sweetened its concessions to the Europeans in December by proposing to sell one unicompartmental knee brand and one elbow brand in Europe, as well as one total knee brand in two European countries.
Biomet Employees Disciplined
On that day of good news for the companies, Zimmer filed a report with the U.S. Securities Exchange Commission (SEC) stating that Biomet has “terminated, suspended or otherwise disciplined certain employees,” involved in alleged improprieties [bribes] in Brazil and Mexico. The allegations include “improprieties” that predate a March 26, 2012, Deferred Prosecution Agreement (DPA) with the U.S. Department of Justice for possible violations of the Foreign Corrupt Practices Act (FCPA).
The government agreed to defe...
