By Maria Rugamer
(Reuters) -Broadwood Partners, the largest shareholder in medical technology company STAAR Surgical, intends to vote against Alcon’s proposed acquisition of the company, it said on Tuesday.
Broadwood said that the Swiss eye care group’s offer did not reflect STAAR’s recent financial improvements.
Alcon said in early August that the boards of both companies had approved its offer of $28 per STAAR share, valuing the business at $1.5 billion.
Investment firm Broadwood, which holds a 27.5% stake in U.S.-based STAAR, said it was disappointed with STAAR’s board for choosing to sell the company “without pursuing an adequate sale process”. It urged the company to reconsider its recommendation of the offer.
STARR said last month that the transaction was anticipated to close in approximately six to 12 months, subject to regulatory approval and approval by STAAR’s shareholders.
STAAR and Alcon did not immediately respond to requests for comment.
Broadwood also raised concerns over the timing of the proposed deal in relation to an upcoming clinical trial publication.
According to Broadwood, the trial compares Alcon’s Lasik technology with STAAR’s Evo ICL lenses, a competing product.
“STAAR and its shareholders have long seen the opportunity for a further market share shift away from LASIK,” it said in a press release.
(Reporting by Maria Rugamer in Gdansk, editing by Milla Nissi-Prussak and Matt Scuffham)
