Edwards Lifesciences Completes Sale of Critical Care
Company announces $1-billion share repurchase
Irvine-headquartered Edwards Lifesciences has successfully completed the sale of its Critical Care product group to BD (Becton, Dickinson and Company) for $4.2 billion in an all-cash transaction. The net proceeds from the sale will be used to fund strategic initiatives, including the previously announced acquisitions and share repurchases.
“Critical Care has made significant contributions to our company and has a long history of innovation. We are grateful to the team for their commitment to improving patient outcomes globally,” said Bernard Zovighian, Edwards’ CEO. “The sale of Critical Care reflects our sharpened focus as a structural heart innovator. Within our existing business, TAVR has significant opportunities to grow and improve how AS patients are treated; TMTT’s contribution to Edwards’ growth is just getting started; and we continue to expand our surgical leadership. In addition, our focus will support patients in need of therapies to treat aortic regurgitation and non-valvular structural heart disease through implantable technologies.”
Edwards also announced that its Board of Directors authorized an additional $1.5 billion for share repurchase. The Company recently entered into a $500-million Accelerated Share Repurchase agreement, and previously in August repurchased $500 million of common stock through a 10b5-1 agreement and open market repurchases. Following this $1-billion share repurchase, Edwards has $1.4 billion in remaining authorization for additional future share repurchases.
Edwards Lifesciences is the leading global structural heart innovation company, driven by a passion to improve patient lives.
Through breakthrough technologies, world-class evidence and partnerships with clinicians and healthcare stakeholders, employees are inspired by their patient-focused culture to deliver life-changing innovations to those who need them most.
“Critical Care expands BD’s portfolio of smart connected care solutions with its growing set of leading monitoring technologies, advanced AI-enabled clinical decision tools and a robust innovation pipeline that complement BD’s existing technologies serving operating rooms and intensive care units,” said Tom Polen, chairman, chief executive officer and president of BD.
“We believe the combination unlocks multiple new avenues for growth and value creation through BD’s broad global footprint, increased penetration across new and existing hospital customers, new innovation opportunities across data sets and platforms, and application of the BD Excellence operating system. The transaction is expected to be immediately accretive to all key financial measures with a strong return profile, which underscores our continued commitment to generate sustained shareholder value. Critical Care is well aligned to BD’s core innovation and business strategies, is a strong cultural fit and we look forward to welcoming Critical Care’s talented team to BD.”