U.S. medical equipment maker Medtronic has asked European Union antitrust regulators to approve its proposed $43 billion purchase of Irish peer Covidien Plc, the European Commission said on Monday. The acquisition, which will put Medtronic on about the same footing as industry leader Johnson & Johnson, will reduce its overall global tax burden.Medtronic however said it is not an inversion deal where U.S. companies acquire foreign rivals to move their tax domicile abroad, but rather a move to boost its medical technology strategy.The EU competition authority has set a Nov. 14 deadline for its decision. It can either clear the deal unconditionally or ask for concessions to allay possible antitrust concerns or open an in-depth investigation.Analysts said the disparate businesses of the two companies should not trigger any significant regulatory worries.
Covidien Public Limited Company is engaged in the development, manufacture and sale of healthcare products for use in clinical and home settings. Shares of COV remained unchanged at $92.93. In the past year, the shares have traded as low as $60.71 and as high as $95.29. On average, 4897900 shares of COV exchange hands on a given day and today's volume is recorded at 0.
Johnson & Johnson is a holding company. The Company is engaged in the research and development, manufacture and sale of a broad range of products in the health care field. Shares of JNJ remained unchanged at $101.23. In the past year, the shares have traded as low as $86.09 and as high as $108.77. On average, 6639750 shares of JNJ exchange hands on a given day and today's volume is recorded at 100.
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