C.R. Bard Sold $24 Billion, Transvaginal Mesh Maker With 15k lawsuits
Mesh Medical Device News Desk, April 24, 2017 ~ C.R. Bard to be sold for $24 billion.
Sunday it was announced that Becton Dickinson (BD) and Company (NYSE BDX) will acquire C.R. Bard for $317.00 per common share in cash and stock. The agreement totals $24 billion.
As was the case when AMS was sold to Endo International, the acquiring company generally buys the liability or outstanding lawsuits as well.
Additionally there is a New Jersey state MDL with 130 remaining cases on the docket, according to a status report (here) issued in April. (Master Docket No. BER-L-17717-14, Superior Court of New Jersey, Bergen Co.)
The New Jersey Pelvic Mesh Cases are listed here and includes thousands of cases filed against another New Jersey company, Johnson & Johnson (Ethicon).
Becton Dickinson, a Franklin Lakes, N.J.- based medical device giant, offers products to treat diabetes, anesthesia care and diagnostics. BD announced it would improve its ability to offer products that reduce the chance of hospital-acquired infections. Bard offers devices in urology, oncology and vascular.
The deal should be closed this fall and USA Today reports, after regulatory and shareholder approval. This is the fourth largest acquisition of the year and the largest in the U.S.
Together the companies have about $16 billion in annual revenues and 65,000 employees. BD hopes to accelerate growth into China and internationally.
Bard’s CEO will join BD’s board of directors.
C.R. Bard faced its first bellwether case in August 2013 with the D. Cisson trial. MND story here.
Cisson was awarded $2 million by a Charleston, WV jury. That case was precedent setting because it was the first in a decade to allow the state of Georgia to collect 75% of the punitive damage award of $1.75 million. In 1987, Georgia added that provision as part of tort reform in 1987, to discourage lawsuit.
On January 20, 2015, Judge Goodwin denied the plaintiffs’ motion to declare that Georgia’s law regarding punitive damages unconstitutional.
Bard also wanted punitive damages reduced from $1.7 million to $250,000. That too was denied.
In 2015, Bard agreed to settle 3,000 mesh cases for $200 million. In 2014, Bard agreed to a $21 million settlement to resolve 500 defective product lawsuits.
Bard, based in Georgia, manufactures various medical devices including:
Avaulta Plus™ BioSynthetic Support System
Avaulta Solo™ Synthetic Support System
Pelvitex™ Polypropylene Mesh