Johnson & Johnson (JNJ) to Acquire Synthes in $19.3B Deal

Johnson & Johnson (NYSE: JNJ) and Synthes, Inc., announced that they have entered into a definitive agreement whereby Johnson & Johnson will acquire Synthes for CHF159 per share, or $21.3 billion.

Under the terms of the agreement, each share of Synthes common stock, subject to certain conditions, will be exchanged for CHF55.65 in cash and CHF103.35 in Johnson & Johnson common stock. The transaction has an estimated net acquisition cost of $19.3 billion as of the close of business on April 26, 2011, based on Synthes approximately 119.5 million fully diluted shares outstanding and approximately $2 billion in cash on hand as of signing.

Closing is expected in H112.

For 2012, the transaction is currently anticipated to have a modestly dilutive impact on adjusted earnings per share.

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