Thoratec, HeartWare merger terminated following FTC challenge

By Lisa Kerner

Charlotte, N.C., July 31 - Thoratec Corp. and HeartWare International, Inc. mutually agreed to terminate their Feb. 13 merger agreement in response to the Federal Trade Commission's decision to challenge the deal in court.

"Although we continue to believe in the benefits of the transaction, our management and board of directors have determined that it was in the best long-term interests of Thoratec and its shareholders not to pursue what would likely be a protracted, costly and unpredictable litigation process," Thoratec president and chief executive officer Gary F. Burbach said in a news release.

HeartWare president and CEO Doug Godshall agreed that litigation to pursue the acquisition of the company by Thoratec is not in its shareholders' best interests.

As previously reported, Thoratec agreed to acquire HeartWare in a cash-and-stock deal valued at $282 million. Each share of HeartWare common stock would have been converted into the right to receive $14.30 in cash and 0.6054 of a share of Thoratec common stock.

Thoratec, based in Pleasanton, Calif., develops, manufactures and markets proprietary medical devices used for circulatory support.

HeartWare is a medical device company located in Framingham, Mass., and Sydney Australia.

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