Encore Medical/BioHorizons merger pulled
This article was originally published in The Gray Sheet
Executive Summary
Dental implant maker BioHorizons will pursue growth as an independent company after mutually agreeing to terminate a $36 mil., May 17 merger agreement with Encore, the firm says (1"The Gray Sheet" May 24, 2004, p. 25). Under the deal, either party could back out if it failed to close by Sept. 1. SEC's unexpected decision to review a merger-related filing caused a delay, Encore explains. The filing, which did not result in SEC concerns, was required since BioHorizons has over 90 shareholders, BioHorizons notes. BioHorizons may have soured on the cash and stock deal in light of Encore's 40% decrease in stock price from May 18-Sept. 1 amid weakness in the broader stock market. The firm also may have felt Encore would be preoccupied with its $360 mil. purchase of Empi, announced Aug. 9 (2"The Gray Sheet" Aug. 16, 2004, p. 18). Encore expects the Empi deal to close in October...