Sivantos announced that the European Commission has approved, under the EU Merger Regulation, the merger between Sivantos Pte Ltd (“Sivantos”), owned by EQT funds, and Widex A/S (“Widex”), owned by T&W Medical A/S. Sivantos is said to offer a diverse portfolio of technologically advanced hearing aid products across brands like Signia, Audio Service, Rexton, and others. Widex’ portfolio of products includes a range of sophisticated hearing aid technology with a focus on the high-end segment.
The Commission concluded the merger would raise no competition concerns. The merger has already been approved in all other relevant jurisdictions.
“Our goal at Widex has always been to develop the best possible hearing aids to improve the life of those with hearing needs. The merger with Sivantos brings us one step closer to that goal by building a company with one of the strongest research and development resources in the business and the sales channels to ensure our innovative products reach as many people as possible,” said Jan Tøpholm, Chairman of Widex A/S.
“The merger between Widex and Sivantos is a transformative combination and unique opportunity to drive innovation through one of the most dynamic R&D teams in the industry to benefit the more than 700 million people with hearing needs,” said Marcus Brennecke, Global Co-Head of EQT Private Equity.
The newly created company will be a global leader with a presence in more than 125 markets, combined revenues of more than EUR 1.7 billion (about $1.92 billion USD), and more than 10,000 employees worldwide. All Widex and Sivantos brands will continue to operate with separate sales forces and organizations following the combination.
The transaction remains subject to final and customary closing conditions. The parties expect the transaction to close in early March 2019.
For a perspective on corporate mergers in the hearing industry, see “Industry Consolidation, Act 2?” in the June 2018 Hearing Review.
Images: Sivantos, Widex