National Dentex Completes Merger with GeoDigm, a Welsh, Carson, Anderson & Stowe Portfolio Company
29 Juli 2010 - 9:34PM
Business Wire
National Dentex Corporation (NASDAQ: NADX), one of the largest
owner/operators of dental laboratories in North America, announced
that earlier today its shareholders adopted and approved the
Agreement and Plan of Merger (the “Merger Agreement”) among
GDC Holdings, Inc., a Delaware corporation (“Parent”), Royal
Acquisition Corp., a Delaware corporation (“Merger Sub”) and
an indirect wholly owned subsidiary of Parent and a direct wholly
owned subsidiary of GeoDigm Corporation, a Minnesota corporation
(“GeoDigm”), and National Dentex. Pursuant to the terms of
the Merger Agreement, Merger Sub was merged with and into National
Dentex, and as a result National Dentex continues as the surviving
corporation and a wholly owned subsidiary of GeoDigm, a technology
based manufacturing and laboratory company and a portfolio company
of Welsh, Carson, Anderson & Stowe (“Welsh Carson”).
Under the terms of the Merger Agreement, National Dentex’s
shareholders will receive $17.00 in cash for each share of National
Dentex common stock they hold, representing a premium of
approximately 70% over National Dentex’s closing share price of
$10.02 on April 1, 2010, the last trading day before the Merger
announcement.
“We believe that the Merger with GeoDigm provides an attractive
all-cash valuation to our shareholders,” said David L. Brown, Chief
Executive Officer of National Dentex. “We look forward to
partnering with GeoDigm and its ICON® platform to transform dental
lab operations and create clear value for our dental clients,” said
Mr. Brown.
“We look forward to working with National Dentex’s strong
management team and broad laboratory network, which are vital to
extending ICON® technology’s benefits to dental clients everywhere.
Welsh Carson’s financial sponsorship greatly increases the National
Dentex - GeoDigm combination’s acquisition capacity. This capacity
offers unaffiliated laboratory owners an opportunity to acquire
fundamentally transformative technology through joining an industry
leader,” said Andrew Hofmeister, Chief Executive Officer of
GeoDigm.
With the closing of the Merger, National Dentex’s common stock
will cease to trade on Nasdaq at market close today and will be
delisted.
BB&T Capital Markets served as financial advisor to National
Dentex and Signal Hill Capital Group LLC provided a fairness
opinion to National Dentex’s Board of Directors. Posternak
Blankstein & Lund LLP served as legal counsel to National
Dentex. Parent and Welsh Carson’s legal counsel is Ropes & Gray
LLP.
About National Dentex
National Dentex Corporation serves an active customer base of
over 24,000 dentists through 42 dental laboratories located in 28
states and one Canadian province. National Dentex’s dental
laboratories provide a full range of custom-made dental prosthetic
appliances, including dentures, crowns, and fixed bridges, and
other dental specialties.
About Parent and GeoDigm
GeoDigm, based in Chanhassen, Minnesota, is a leading innovator
in dental and orthodontic imaging and manufacturing technology.
GeoDigm deploys its proprietary, digitally-enabled production
system exclusively through GeoDigm Laboratories, delivering
improved products and services to its client base of over five
thousand dentists and orthodontists.
About Welsh, Carson, Anderson & Stowe
Welsh, Carson, Anderson & Stowe is one of the largest and
most successful private equity investment firms in the United
States. Since its founding in 1979, Welsh, Carson, Anderson &
Stowe has organized 15 limited partnerships with total capital of
$20 billion. Welsh, Carson, Anderson & Stowe focuses its
investment activity in two target industries: information/business
services and healthcare. Welsh, Carson, Anderson & Stowe is
currently investing an equity fund, Welsh, Carson, Anderson &
Stowe XI, L.P., and a dedicated subordinated debt fund, WCAS
Capital Partners IV, L.P. Additional information is available
online at www.welshcarson.com.
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