Salt Lake City — Effectively bringing the month-long bidding shootout to an end, Otix Global has announced a decision to "dance with the one that brung ’em" so to speak, choosing William Demant Holding (WDH) over GN Store Nord A/S, Reuters UK reports.
GN Store Nord, parent company of ReSound will reportedly not launch a new bid for Otix Global, leaving Danish rival WDH, the parent group of Oticon and Bernafon, to take over the company as originally planned, Otix said.
In an October 19 statement, Otix, parent company of Salt Lake City-based hearing aid maker Sonic Innovations, said it would be filing a definitive proxy statement to obtain approval of the merger with WDH by its shareholders.
Last week, WDH raised its bid for Otix to match the latest bid from GN at $64.2 million.
Two days previous, GN outbid William Demant’s agreed deal with Otix for the second time, raising its bid from its previous $58 million.
Reuters reports that if Otix had ended the deal with William Demant, it would have had to pay a "break fee" of $2 million, which effectively made William Demant’s equal bid more valuable to the seller than GN’s.
SOURCE: Reuters UK