Royal Philips Electronics to Acquire Respironics

Royal Philips Electronics has entered a merger agreement under which it would acquire all outstanding shares of Respironics for approximately $5.1 billion.

The offer represents a premium of approximately 31 percent over Respironics’ average closing share price for the 30 trading days ended Dec. 20, the company said.

Respironics’ board of directors unanimously approved the transaction and recommends that shareholders accept and tender their shares into the offer. The transaction is expected to be completed in the first quarter of 2008.