SUGAR LAND, Texas -- Kirschner Medical Corp. rejected
TC higher takeover bid yesterday by Maxxim Medical Inc., saying a previously signed deal remained "in the best interests of Kirschner's shareholders."
Maxxim raised its bid yesterday, offering $39.6 million in cash or stock, or $11.50 a share, for Timonium-based Kirschner if a definitive agreement was signed by Aug. 3. Its offer would be adjusted for any fees Kirschner might owe Biomet Inc. under a definitive agreement the two companies signed July 16.
Biomet has agreed to pay $10.75 a share or the equivalent in common stock.
Directors of Kirschner met yesterday, the company said, and rejected Maxxim's new proposal.
Kirschner is a major provider of replacement shoulder joints and makes other products for the fast-growing $5 billion orthopedic market worldwide. Its stock ended up 12.5 cents at $10.50 a share yesterday.
Biomet, of Warsaw, Ind., makes orthopedic implants as well as orthopedic supports. Maxxim, based in Sugar Land, Texas, makes physical therapy equipment and disposable hospital products. Biomet's stock closed down 12.5 cents at $9.75, while Maxxim was down 37.5 cents at $15.125.