Topic: How To Invest

Spinoffs, Takeovers and Special Situations Hotline – Friday, November 15, 2019

Article Excerpt

WRIGHT MEDICAL GROUP NV, $29.51, symbol WMGI on Nasdaq, is a global medical device company specializing in implants for the extremities such as feet, ankles, wrists, and shoulders. Wright Medical announced on November 4, 2019, that it has agreed to a $5.4 billion takeover offer from STRYKER CORPORATION (symbol SYK on New York). That company will pay $30.75 a share in cash for each Wright Medical share. The deal has won the approval of both boards of directors and should close in the second half of 2020. In its fiscal 2019 third quarter, ended September 29, 2019, Wright’s overall revenue jumped by 9.4%, to $212.4 million from $194.1 million a year earlier. Revenues were higher due to strong growth in its U.S. business. In the latest quarter, the company lost $43.8 million, or $0.35 a share. That’s compared to a loss of $42.5 million, or $0.38 a share, a year earlier. Wright brings a highly complementary product portfolio and customer base to Stryker’s trauma and…