Medtronic completes $50B acquisition of rival Covidien
Medtronic plc, a global developer of medical technology, services and solutions, announced Monday it has successfully completed the previously announced acquisition of Covidien plc, in a cash-and-stock transaction valued at some $49.9 billion.
Under the terms of the acquisition agreement, Medtronic Inc. and Covidien plc are now combined under Medtronic plc. Shares of Medtronic plc are expected to begin trading on the New York Stock Exchange under the symbol “MDT” today.
“The culmination of this acquisition marks a significant milestone in our industry, creating a company uniquely positioned to alleviate pain, restore health and extend life for more patients around the world,” said Omar Ishrak, chairman and CEO of Medtronic.
“We can now bring together the extensive and innovative capabilities of both Medtronic and Covidien with an underlying objective to solve healthcare’s biggest challenge — expanding access and improving clinical outcomes, while lowering costs,” he said in a release issued post-closing.
As of press time, it remained unclear how much the transaction would affect Puerto Rico, where both companies have a presence. Medtronic employs more than 3,000 people at its manufacturing plants in Villalba, Juncos and Humacao, and its sales office in Guaynabo. Covidien, meanwhile, currently employs 2,200 people at its Sabanetas Industrial Park campus in Ponce.
Attempts to reach local and corporate executives for further information were unsuccessful.
Medtronic plc has its principal executive offices in Ireland, where both companies have a longstanding presence. The company’s operational headquarters will continue to be based in Minneapolis. Medtronic has a comprehensive product portfolio, a diversified growth profile and broad geographic reach, with more than 85,000 employees in more than 160 countries.