- Published on 07 November 2018
Widex and Sivantos, the two hearing aid giants behind plans for a merger to make the worlds 3rd-biggest hearing conglomerate, have withdrawn their application for European Commission approval for the venture.
Back in May, the two manufacturing companies announced intentions to merge into a multi-channel, global sales platform in more than 125 markets. This was scheduled to be finalised on November 12.
Now, the October 30 application withdrawal signals the $8bn deal is on hold, although the owner of Sivantos Group, private equity firm EQT, says the deal will still go ahead and be closed sometime in the first half of 2019.
EQT claims it remains committed to a merger that is forecast to generate combined revenues of around 1.6bn euros and employ 10,000 people worldwide. Marcus Brennecke, Partner at EQT Partners and Investment Advisor to the EQT funds, has called the move a "game changer". It will pool R&D resources involving at least 800 specialists in research and development working out of Singapore, Erlangen (Germany) and Lynge (Denmark).