The Rising Influence of Rising Affluence

[DewDiligence]

ZBH PR/slides re ZimVie (ZIMV) spinoff:

https://www.prnewswire.com/news-releases/zimmer-biomet-announces-expected-completion-date-of-march-1-2022-for-spinoff-of-zimvie-301476209.html

https://78449.choruscall.com/dataconf/productusers/zbh/media/2022/zbh220207_1100_presentation.pdf

Zimmer Biomet Holdings, Inc. today announced that its Board of Directors has declared a pro rata dividend of 80.3% of the outstanding common stock of ZimVie Inc. to Zimmer Biomet shareholders of record as of the close of business on February 15, 2022 (the "Record Date"). The dividend is payable at 12:01 a.m. ET on March 1, 2022 (the "Distribution Date"). As a result of the dividend, Zimmer Biomet shareholders will receive one share of ZimVie common stock for every ten shares of Zimmer Biomet common stock they hold on the Record Date.

Immediately following the dividend, Zimmer Biomet will retain 19.7% of the outstanding shares of ZimVie common stock, which Zimmer Biomet intends to divest after the separation in a tax-efficient manner.

…ZimVie will focus on the dental and spine markets and their respective growth drivers such as implants, surgical tools, bone graft substitutes, spinal fusion implants, non-fusion alternatives, and digital care management solutions.

The spinoff, which is tax-free for ZBH shareholders, was announced one year ago (#msg-161529784). The impetus for the spinoff is that ZBH wants to offload its slow-growth business segments.

This is ZBH’s biggest biz-dev transaction since the merger of Zimmer and Biomet in 2015.