The European Commission cleared Boston Scientific's merger with Guidant, according to a press release issued by Boston Scientific. Boston Scientific announced an agreement with FTC staff that, if approved by the Commission, will resolve all outstanding antitrust issues identified by staff. That is quick work for a deal announced on January 25, 2006, especially one raising significant antitrust concerns.
Boston Scientific addressed those concerns with admirable efficiency. The company understood that antitrust regulators were unlikely to approve any deal that combined Boston Scientific and Guidant's vascular intervention and endovascular businesses. Although it was still competing against Johnson & Johnson for Guidant, Boston Scientific quickly sought a buyer for Guidant's businesses. Hence, by the time Boston Scientific emerged as the victor in the Guidant bidding war, Abbott had agreed to buy Guidant's vascular intervention and endovascular businesses.
This "fix-it-first" approach achieved what it was intended to achieve: It expedited review of the transaction by antitrust regulators both here and overseas. Thanks to the parties' strategic thinking, Boston Scientific expects to close the transaction around the middle of April, shortly after it receives final FTC antitrust approval.
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