UPDATE: As expected and reported yesterday (Nov 5) in Hearing Review online news, Siemens AG is selling its Siemens Audiology Solutions unit to the Stockholm-based private-equity firm EQT Partners AB and Germany’s Strüngmann family of entrepreneurs as co-investors. The purchase price was €2.15 billion plus an earn-out component and is subject to regulatory approval. For the updated article, CLICK HERE.
NOVEMBER 3—As an update to last week’s Hearing Review news item “Three Bid for Siemens Hearing Instruments; IPO Still Option,” Permira Advisors LLP has dropped out of the bidding process for Siemens Hearing Instruments, according to a report from Reuters, leaving EQT Partners AB, the Stockholm-based private equity firm, as the unit’s most likely buyer. However, GN Store Nord—maker of ReSound, Beltone, Otometrics, and Jabra headset devices—is also still in the running.
In May, Siemens AG made public its intention to spin off its hearing aid division in an IPO, the result of a major company realignment to pare the industry giant’s number of core business divisions from 16 to 9. However, continued turmoil in the equity markets prompted the company to consider an outright sale instead.
It is thought that, if a company is selected from the current bidding process as a buyer for the Siemens Hearing division, the decision will likely be made on Wednesday (November 5) in advance of Thursday’s Siemens Annual Conference. It’s also possible the company could continue to pursue the IPO option.