22.6.2023 08:04:43 CEST | Demant A/S |
Intern viden
Selskabsmeddelelse nr. 2023-10 22. juni 2023
Frasalget af Oticon Medical til Cochlear ændret i omfang
Den ændret transaktion med Cochlear omfatter kun CI-forretningen
BAHS-forretningen forbliver en del af Demant indtil videre, mens de strategiske muligheder evalueres
Transaktionen forudsætter stadig CMA og andre regulatoriske myndigheders godkendelse
Resultat efter skat fra ophørende aktiviteter i 2023 forventes nu at være negativt med DKK 700-1.000 mio. (tidl. DKK 100-200 mio.), inklusive nedskrivning af aktiver relateret til CI-forretningen uden likviditetseffekt
Efter dialoger med regulatoriske myndigheder og efter offentliggørelse i dag af den endelige rapport fra de britiske konkurrencemyndigheder, Competition and Markets Authority (CMA), er Demant og Cochlear Limited blevet enige om at ændre omfanget af den oprindelige transaktion, der omhandler frasalget af Demants Hearing Implants-forretning, Oticon Medical, til Cochlear Limited. Den ændrede transaktion omfatter kun Demants cochlear implantat-forretning (CI ), hvorimod forretningen for benforankrede høresystemer (BAHS) ikke længere er omfattet af transaktionen og derfor vil forblive en del af Demant indtil videre, mens de strategiske muligheder evalueres.
I dag har CMA publiceret sin endelige rapport, der konkluderer, at den oprindelige transaktion kunne forventes at resultere i en betydelig svækkelse af konkurrencen (substantial lessening of competition) på markedet for benforankrede høresystemer i Storbritannien. Dette er i tråd med CMAs foreløbige konklusion af 20. april 2023. CMA konkluderer, at et delvist forbud mod den oprindelige transaktion, der forhindrer salget af BAHS-forretningen til Cochlear, er et effektivt middel til i vidt omfang at forhindre en betydelig svækkelse af konkurrencen. Denne konklusion forudsætter CMAs endelige godkendelse, ligesom CMA skal føre tilsyn med adskillelsen af CI- og BAHS-forretningerne.
“Efter de britiske konkurrencemyndigheders endelige rapport har vi konkluderet, at der ikke længere er nogen mulig vej til at opnå alle nødvendige regulatoriske godkendelser af et fuldstændigt frasalg af vores Hearing Implants-forretning til Cochlear. Vi er derfor blevet enige om en ændret transaktion, som kun omfatter CI-forretningen, og det glæder os, at en global leder inden for implantérbare løsninger til høretab, Cochlear, stadig er dedikeret til at servicere Oticon Medicals eksisterende patienter med cochlear-implantater nu og i fremtiden,” siger Søren Nielsen, koncernchef og adm. direktør for Demant, og fortsætter:
“Når nu BAHS-forretningen ikke længere er en del af transaktionen med Cochlear, er vi fuldt ud dedikeret til at drive og udvikle denne forretning yderligere og således fortsætte med at servicere alle vores BAHS-kunder og -patienter. BAHS-forretningen vokser og leverer positive resultater, hvilket udgør et solidt grundlag for en strategisk evaluering af de fremtidige muligheder.”
Demants beslutning om at træde ud af Hearing Implants, inklusive BAHS-forretningen, er stadig gældende, og rent regnskabsmæssigt vil vi derfor fortsat indregne det samlede Hearing Implants-forretningsområde som en ophørende aktivitet.
Finansiel effekt
Som følge af det ændrede omfang vil der ikke blive betalt vederlag som en del af transaktionen. Transaktionen forventes at blive afsluttet inden udgangen af 2023, dog forudsat at der opnås regulatoriske godkendelser fra CMA, Australian Competition and Consumer Commission (ACCC) og EU-komissionen. Dette omfatter CMAs tilsyn med adskillelsen af CI- og BAHS-forretningerne. Evalueringen af de strategiske muligheder i forhold til BAHS-forretningen forventes ikke at være gennemført, før transaktionen med Cochlear er afsluttet.
Som følge af ændringen af transaktionen vil vi indregne engangsomkostninger på DKK 600-800 mio. uden likviditetseffekt. Disse omkostninger omfatter nedskrivninger af aktiver relateret til CI-forretningen og vil blive indregnet i H1 2023 som en del af ophørende aktiviteter. Resultat efter skat fra ophørende aktiviteter vil også fortsat omfatte driftsaktiviterne i både BAHS-forretningen og CI-forretningen (indtil transaktionen afsluttes), som samlet set stadig forventes at bidrage negativt med DKK 100-200 mio. i 2023. Bidraget fra BAHS-forretningen forventes at blive positivt.
For hele 2023 forventer vi nu, at det samlede resultat efter skat fra ophørende aktiviteter vil være negativt med DKK 700-1.000 mio. (tidligere DKK 100-200 mio.). Koncernens øvrige forventninger til 2023 vil ikke blive påvirket.
Yderligere information:
Søren Nielsen, koncernchef og adm. direktør
Telefon +45 3917 7300
www.demant.com
Øvrige kontaktpersoner:
René Schneider, CFO
Mathias Holten Møller, Head of Investor Relations
Trine Kromann-Mikkelsen, VP Corporate Communication & Sustainability
Om Demant A/S
Demant is a world-leading hearing healthcare group that offers solutions and services to help people with hearing loss connect with the world around them. In every aspect, from hearing devices, hearing implants, diagnostics to audio and video solutions and hearing care all over the world, Demant is active and engaged. Our innovative technologies and know-how help improve people’s health and hear-ing. We create life-changing differences through hearing health.
Vedhæftninger
2023-10 Frasalget af Oticon Medical til Cochlear ændret i omfang.pdf
22.6.2023 08:04:43 CEST | Demant A/S |
Inside information
Company announcement no 2023-10 22 June 2023
Divestment of Oticon Medical to Cochlear amended in scope
The amended transaction with Cochlear includes only CI business
BAHS business will remain with Demant for now, pending review of strategic options
Transaction remains subject to final approval by the CMA and other regulatory authorities
Now expect negative profit after tax from discontinued operations in 2023 of DKK 700-1,000 million (prev. DKK 100-200 million), including non-cash write-downs of assets related to the CI business
Following dialogues with regulatory authorities and today’s final report published by the UK Competition and Markets Authority (CMA), Demant and Cochlear Limited have agreed to amend the scope of the original transaction, involving the divestment of Demant’s Hearing Implants business, Oticon Medical, to Cochlear Limited. The amended transaction only involves Demant’s cochlear implants (CI) business, whereas the bone anchored hearing systems (BAHS) business is no longer part of the transaction and will thus remain with Demant for now, pending a review of strategic options.
Today, the CMA has issued its final report, concluding that the original transaction may be expected to result in a substantial lessening of competition (SLC) in the supply of bone conduction solutions in the UK. This is in line with the CMA’s provisional findings dated 20 April 2023. The CMA has found that a partial prohibition of the original transaction, preventing the sale of the BAHS business to Cochlear, is an effective remedy to comprehensively address the SLC. This finding is subject to final approval by the CMA and their oversight of the separation of the CI and BAHS businesses.
“Following the final report from the UK competition authorities, we have concluded that there is now no viable path to obtain all necessary regulatory approvals for the full divestment of our Hearing Implants business to Cochlear. Consequently, we have agreed on an amended transaction, which only includes the CI business, and we are happy that a global leader in implantable solutions for hearing loss, Cochlear, remains committed to servicing Oticon Medical’s existing cochlear implant patients now and in the future,” says Søren Nielsen, President & CEO of Demant and continues:
“With the BAHS business no longer being part of the transaction with Cochlear, we remain fully committed to operating and further developing this business to continue serving all our BAHS customers and patients. The BAHS business is growing and delivering positive results, making for a solid starting point for a strategic review of future options.”
Demant’s decision to exit Hearing Implants, including the BAHS business, still stands, and for accounting purposes, we will thus continue to report the entire Hearing Implants business area as a discontinued operation.
Financial impact
Due to the amended scope, no consideration will be paid as part of the transaction. The transaction is expected to close before the end of 2023, however subject to regulatory approvals by the CMA, the Australian Competition and Consumer Commission (ACCC) and the European Commission (EC). This includes oversight of the separation of the CI and BAHS businesses by the CMA. The review of strategic options relating to the BAHS business is not expected to be complete until after closing of the transaction with Cochlear.
As a result of the amendment to the transaction, we will incur non-recurring, non-cash costs of DKK 600-800 million. These costs comprise write-downs of assets related to the CI business and will be recognised in H1 2023 as part of discontinued operations. Profit after tax of discontinued operations will also continue to include the operating activities of both the BAHS business and the CI business (until closing), which are still expected to contribute negatively by DKK 100-200 million in total in 2023. The contribution of the BAHS business is expected to be positive.
For 2023 as a whole, we now expect total profit after tax from discontinued operations to be negative by DKK 700-1,000 million (previously DKK 100-200 million). There are no other impacts on the Group’s outlook for 2023.
Further information:
Søren Nielsen, President & CEO
Phone +45 3917 7300
www.demant.com
Other contacts:
René Schneider, CFO
Mathias Holten Møller, Head of Investor Relations
Trine Kromann-Mikkelsen, VP Corporate Communication & Sustainability
About Demant A/S
Demant is a world-leading hearing healthcare group that offers solutions and services to help people with hearing loss connect with the world around them. In every aspect, from hearing devices, hearing implants, diagnostics to audio and video solutions and hearing care all over the world, Demant is active and engaged. Our innovative technologies and know-how help improve people’s health and hear-ing. We create life-changing differences through hearing health.
Attachments
2023-10 Divestment of Oticon Medical amended in scope.pdf
