Clearances in hand, Abbott Labs sets St. Jude closure for Jan. 4

|About: Abbott Laboratories (ABT)|By:, SA News Editor

With the last approvals coming in this week from China and the U.S., Abbott Laboratories' (NYSE:ABT) acquisition of St. Jude Medical (NYSE:STJ) is now set to close on Jan. 4, Abbott says.

St. Jude is up 0.7% today; ABT is up 1.1%.

The merger fits a strategy of taking leadership in attractive markets and focusing on customer needs, says CEO Miles White. "This philosophy has served as the foundation for significant and sustainable value creation for our shareholders. The addition of St. Jude Medical creates one of the broadest medical device portfolios in the world and provides a steady stream of new technologies and therapies for many years to come."

The combined cardiovascular and neuromodulation portfolio of the businesses boasts annual sales of $8.7B.

Abbott says the acquisition should be accretive to adjusted EPS in the first full year and growing after that ($0.21 in accretion in 2017, an estimated $0.29 in 2018) and is expected to result in annual pretax synergies of $500M by 2020.

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