Development

Zimmer to acquire China's orthopaedic implant giant

(chinadaily.com.cn)
Updated: 2010-08-09 17:54

Zimmer Holdings, Inc. (NYSE and SIX: ZMH), the world leader in the orthopaedics industry, today announced that it has entered into a definitive agreement to acquire Beijing Montagne Medical Device Co., Ltd., a leader in China's orthopaedic implant market.

Zimmer is making the acquisition to capitalize on the opportunities being created in the rapidly growing orthopaedic market in China, which the company expects to double by 2013 from its current size of more than $1 billion. Subject to regulatory approvals and certain other conditions, the acquisition is expected to close in late 2010 or early 2011.

"Building our market presence in China is a critical part of our overall growth strategy," said Stephen Ooi, President, Asia Pacific of Zimmer. "Montagne's brand and products are widely respected throughout China. When completed, this acquisition will better position Zimmer as a market leader in China by expanding coverage to a broader spectrum of patients."

Zimmer has built a strong and growing business in China. Based in Shanghai, Zimmer currently employs over 100 people in China. The acquisition of Montagne will enhance its market presence by expanding its customer base and enhancing product offerings, in-country manufacturing and R&D capabilities.

Ms. Xueli Tang, Executive Director of Montagne, said: "We are very pleased that Montagne's market leadership and commitment to quality have been recognized by Zimmer. We are confident that the union will lead to continuous progress and growth for Montagne and bring enhanced services to Chinese patients and orthopaedic surgeons."