Ortho Clinical Diagnostics Shareholders Approve Quidel Transaction
On May 16, 2022, Ortho Clinical Diagnostics Holdings (NASDAQ: OCDX) announced shareholder approval for its merger with Quidel Corporation (NASDAQ: QDEL) under a Business Combination Agreement dated December 22, 2021. The merger aims to create a global diagnostics leader, enhancing R&D capabilities and market reach. The closing is pending High Court sanction and other conditions, expected on May 27, 2022. Ortho's CEO expressed confidence in the merger's potential for profitable growth and an integrated commercial strategy.
- Shareholders approved the merger with Quidel, indicating strong investor confidence.
- The merger is expected to enhance R&D capabilities and market presence.
- The combined entity anticipates long-term profitable growth.
- The merger is subject to regulatory approvals and court sanctions, posing potential delays.
- Integration challenges may arise, affecting operational efficiency.
RARITAN, N.J., May 16, 2022 (GLOBE NEWSWIRE) -- Ortho Clinical Diagnostics Holdings plc (NASDAQ: OCDX) (“Ortho” or the “Company”), one of the world’s largest pure-play in vitro diagnostics (IVD) companies, today announced that based on a preliminary vote count by its proxy solicitor, Ortho shareholders have voted to approve the combination of the Company with Quidel Corporation (NASDAQ: QDEL) (“Quidel”) pursuant to the Business Combination Agreement, dated December 22, 2021, by and among the Company, Quidel, and the other parties thereto (the “BCA”). The closing of the transactions contemplated by the BCA is subject to sanction of the combination by the High Court of Justice of England and Wales and satisfaction of other closing conditions and is expected to occur on May 27, 2022.
“We are pleased with our shareholders’ vote of confidence in the transformational combination of these companies and the potential to establish a global diagnostics leader with a broad portfolio spanning the diagnostics continuum, allowing the new company to leverage call points in complementary markets,” said Chris Smith, Chairman and Chief Executive Officer of Ortho.
“We have greatly appreciated the opportunity to engage in a thoughtful and constructive dialogue with our shareholders throughout this process. We believe the combination of Quidel and Ortho will be well-positioned to accelerate growth through a broader commercial channel, stronger R&D capabilities, enhanced brand recognition, and wider overall reach by combining Quidel and Ortho’s complementary, world-class products. We are equally confident that together, we are uniquely positioned for long-term profitable growth, and we anticipate a smooth transition ahead,” Smith continued.
The preliminary vote count is subject to certification by the Company’s scrutineer and independent inspector of elections. Additional information regarding the final results of the Ortho shareholder votes will be filed with the Securities and Exchange Commission on Current Report on Form 8-K and made available on Ortho’s investor website at https://ir.orthoclinicaldiagnostics.com/.
About Ortho Clinical Diagnostics
Ortho Clinical Diagnostics Holdings plc (Nasdaq: OCDX) is one of the world’s largest pure-play in vitro diagnostics (IVD) companies.
More than 800,000 patients across the world are impacted by Ortho’s tests each day. Because Every Test Is A LifeTM, Ortho provides hospitals, hospital networks, clinical laboratories and blood banks around the world with innovative technology and tools to ensure test results are fast, accurate, and reliable. Ortho's customized solutions enhance clinical outcomes, improve efficiency, overcome lab staffing challenges and reduce costs.
From launching the first product to determine Rh+ or Rh- blood type, developing the world’s first tests for the detection of antibodies against HIV and hepatitis C, introducing patented dry-slide technology and marketing the first U.S. Food and Drug Administration-authorized high-volume antibody and antigen tests for COVID-19, Ortho has been a pioneering leader in the IVD space for over 80 years.
The Company is powered by Ortho CareTM, an award-winning, holistic service and support program that ensures best-in-class technical, field and remote service to laboratories in more than 130 countries and territories around the globe.
For more information, visit Ortho’s website or social media channels: LinkedIn, Twitter, Facebook and YouTube.
Forward Looking Statements
This Press Release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements include, among others, statements concerning the benefits of the business combination transaction involving Quidel and the Company, including the combined company’s future financial and operating results, plans, objectives, expectations and intentions and other statements that are not historical facts. Any statements contained herein that are not statements of historical fact may be forward-looking statements and should be evaluated as such. Without limiting the foregoing, the words “anticipate,” “expect,” “suggest,” “plan,” “believe,” “intend,” “project,” “forecast,” “estimates,” “targets,” “projections,” “should,” “could,” “would,” “may,” “might,” “will,” and the negative thereof and similar words and expressions are intended to identify forward-looking statements. Factors that might materially affect such forward looking statements include: the ongoing global coronavirus (COVID-19) pandemic; risks related to the proposed acquisition of us by Quidel, including (i) failure to complete the proposed transaction on the proposed terms or on the anticipated timeline, or at all, (ii) risks and uncertainties related to securing the necessary regulatory and shareholder approvals, the sanction of the High Court of Justice of England and Wales and satisfaction of other closing conditions to consummate the proposed transaction; (iii) the occurrence of any event, change or other circumstance that could give rise to the termination of the definitive transaction agreement relating to the proposed transaction; (iv) the challenges and costs of closing, integrating, restructuring and achieving anticipated synergies; (v) the ability to retain key employees; and (vi) the economic business, competitive, and/or regulatory factors affecting the businesses of the Company and Quidel; increased competition; manufacturing problems or delays or failure to develop and market new or enhanced products or services; adverse developments in global market, economic and political conditions; our ability to obtain additional capital on commercially reasonable terms may be limited or non-existent; our inability to implement our strategies for improving growth or to realize the anticipated benefits of any acquisitions and divestitures, including as a result of difficulties integrating acquired businesses with, or disposing of divested businesses from, our current operations; a need to recognize impairment charges related to goodwill, identified intangible assets and fixed assets; inability to achieve some or all of the operational cost improvements and other benefits that we expect to realize; our ability to operate according to our business strategy should our collaboration partners fail to fulfill their obligations; risk that the insurance we maintain may not fully cover all potential exposures; product recalls or negative publicity may harm our reputation or market acceptance of our products; decreases in the number of surgical procedures performed, and the resulting decrease in blood demand; fluctuations in our cash flows as a result of our reagent rental model; terrorist acts, conflicts, wars and natural disasters that may materially adversely affect our business, financial condition and results of operations; the outcome of legal proceedings instituted against us and/or others; risks associated with our non-U.S. operations, including currency translation risks, the impact of possible new tariffs and compliance with applicable trade embargoes; the effect of the United Kingdom’s withdrawal from the European Union; our inability to deliver products and services that meet customers’ needs and expectations; failure to maintain a high level of confidence in our products; significant changes in the healthcare industry and related industries that we serve, in an effort to reduce costs; reductions in government funding and reimbursement to our customers; price increases or interruptions in the supply of raw materials, components for our products, and products and services provided to us by certain key suppliers and manufacturers; our ability to recruit and retain the experienced and skilled personnel we need to compete; work stoppages, union negotiations, labor disputes and other matters associated with our labor force; consolidation of our customer base and the formation of group purchasing organizations; unexpected payments to any pension plans applicable to our employees; our inability to obtain required clearances or approvals for our products; failure to comply with applicable regulations, which may result in significant costs or the suspension or withdrawal of previously obtained clearances or approvals; the inability of government agencies to hire, retain or deploy personnel or otherwise prevent new or modified products from being developed, cleared or approved or commercialized in a timely manner; disruptions resulting from President Biden’s invocation of the Defense Production Act; results of clinical studies, which may be delayed or fail to demonstrate the safety and effectiveness of our products; costs to comply with environmental and health and safety requirements, or costs related to liability for contamination or other potential environmental harm; healthcare fraud and abuse regulations that could result in liability, require us to change our business practices and restrict our operations in the future; failure to comply with the anti-corruption laws of the United States and various international jurisdictions; failure to comply with anti-terrorism laws and regulations and applicable trade embargoes; failure to comply with the requirements of federal, state and international laws pertaining to the privacy and security of health information; our inability to maintain our data management and information technology systems; data corruption, cyber-based attacks, security breaches and privacy violations; our inability to protect and enforce our intellectual property rights or defend against intellectual property infringement suits against us by third parties; risks related to changes in income tax laws and regulations; risks related to our substantial indebtedness; our ability to generate cash flow to service our substantial debt obligations; difficulties complying with Nasdaq rules regarding the composition of our Board of Directors and certain committees now that we are no longer a “controlled company”; risks related to the ownership of our ordinary shares; risks related to the ongoing military action between Russia and Ukraine; and other factors beyond our control. Unless legally required, we assume no obligation to update any such forward-looking information to reflect actual results or changes in the factors affecting such forward-looking information.
Investors:
IR@orthoclinicaldiagnostics.com
Media:
media@orthoclinicaldiagnostics.com
FAQ
What was announced by Ortho Clinical Diagnostics on May 16, 2022?
What is the expected closing date of the merger between OCDX and QDEL?
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