ConMed getting bought

Hear there are rumblings of purchase sooner than later.

 

We can only hope!

 

Who’s buying this shit company?

 

I am wondering this too....

 

Nobody. That ship sailed long ago.

 

No company will pay a billon dollars for this dog.

 

No way this company is worth a billion!

 

Smith and Nephew May offer as such to get the Ortho Division. Would fit perfectly with their aggregate Portfolio.

 

at today's close, Conmed already has a market cap of $2.4 Billion. A buyer may use their stock instead of cash. The key issue is if there is a company that has an ortho division to put Conmed's ortho, a surgical division to put Conmed's surgical and an EMS division to put Conmed's emergency products. Conmed has over $800 million in costs to try and find synergy with the buyer by eliminating duplicating costs. So the trick is getting the earnings up on the number of shares of stock your giving to Conmed shareholders instead of cash. That the price your paying isn't as important as how much EPS can your get out of the shares your giving up, and can you make it higher than your current EPS. That's why it is important to be able to mash Conmed into your current business. It would help if you knew the Conmed management team well so they can help you with the mashing. You would have to give about 4 times revenue which comes out to $97 or $98 a share. Or, $197 or $198 a share if it's a two (of the buyer) for one (of Conmed) deal. Are there any companies out there that fit this model. I guess we'll know soon, Curt's five year employment agreement is coming up in Nov.

 

There are only a handful of medical device companies that can pull off a $2.4B acquisition. And one, maybe two, with the synergies you describe. More likely scenario is a piecemeal sale. Even more likely scenario is that Curt acquires another company like Surgiquest to buy himself more time as CEO.

 

will never happen

 

Zimmer Biomet? $25b company, has an ortho division, surgical division, they’re trying to break into Endo market (robust sports division), partnered with buffalo smoke evac already...stars align with this one

 

Hope your right!!

 

Good point about Zimmer. Is there a lot of senior level managers at Conmed from the days when BMY owned both Zimmer and Linvatec? People who know Zimmer's culture and Zimmer knows them? What you need if you're a buyer is people who have been at Conmed for 3 to 5 years who are mutually familiar who can help you mash Conmed into your organization. People who are always talking about what a great company the buyer is, and who could be easily bought to help you get maximum costs elimination. Conmed has a huge amount of expense in people, facilities, public company expense, etc. which could be eliminated, especially if you have senior level employees planted there to help you. This is where are all the Cheddar is for a buyer.

 

ZB is a mess and there is no way they would even consider a purchase of the size and scope of ConMed. Cleaning up the mess following the Biomet merger almost sunk them and they won't repeat that mistake. But if you're wondering who has placed colleagues within an acquisition target, you'd have no better example than the new leadership of ZB: they're all from Medtronic. And Medtronic badly needs a company with total joints. Sorry team Conmed, you're going to be left at the alter again.

 

Medtronic would never buy this dog..

 

Only way they get bought is selling off their product lines.

 

Heard J & J is back in the mix

 

Blah, Blah, Blah this talk has been going on for years.

 

ZB is a mess and there is no way they would even consider a purchase of the size and scope of ConMed. Cleaning up the mess following the Biomet merger almost sunk them and they won't repeat that mistake. But if you're wondering who has placed colleagues within an acquisition target, you'd have no better example than the new leadership of ZB: they're all from Medtronic. And Medtronic badly needs a company with total joints. Sorry team Conmed, you're going to be left at the alter again.