Cyberonics, Sorin Merge in $2.7 Billion Deal

Cyberonics is merging with Italian devicemaker Sorin in an all-stock, $2.7 billion deal to create a global leader in cardiac surgery, rhythm management and neuromodulation devices. The combined company will be based in the UK, Houston-based Cyberonics said Thursday.

Cyberonics and its shareholders will own approximately 54 percent of the combined company, while Sorin will hold 46 percent. The deal — unanimously approved by the boards of both companies — will close by the end of the third quarter, pending shareholder approval and other conditions, the firms said.

Sorin CEO Andre-Michel Ballester will serve as CEO of the new company and Cyberonics CEO Dan Moore will be chairman.

The companies said the merger will allow them to achieve significant revenue and cost synergies. New products are expected to hit the European market as early as this year. — Kellen Owings