SALT LAKE CITY, Sept. 13 /PRNewswire-FirstCall/ -- Otix Global,
Inc. (Otix) (Nasdaq: OTIX), a leading provider of hearing care
services and solutions and the parent company of Sonic Innovations,
Inc. (Sonic) and HearingLife, today announced that it has entered
into a definitive merger agreement with William Demant Holding A/S
(WDH), the parent company of hearing aid companies, Oticon and
Bernafon. Under the merger agreement WDH will pay
$8.60 for each outstanding share of
Otix common stock.
"In a short period of time, Otix Global has grown from an
innovative start-up company to a leading manufacturer and
distributor of superior hearing solutions under its Sonic and
HearingLife brands. Our product lines have garnered industry
attention and awards and are representative of the innovative
technology for which Otix is known," said Otix Chairman and CEO
Sam Westover. "The merger with
William Demant will provide the
research and development, marketing and sales support and resources
necessary to further expand Sonic and HearingLife's presence in the
hearing healthcare industry."
The proposed transaction represents a 112% and 125% premium to
Otix's 5-day and 30-day average stock prices, respectively, as of
the last trading day before the merger announcement. The
boards of directors of Otix and WDH have given their approvals to
the transaction, which is subject to German and Australian merger
control regulations, and other customary closing conditions. The
agreement will require the approval of Otix's shareholders.
It is anticipated that the merger will be completed between
mid-November and the end of 2010.
"Otix is proud of the many achievements and contributions it has
made to the hearing aid industry. As a pioneer to the
industry, many of Otix Global's technologies have become standard
in the industry today. The company's commitment to
manufacture and market products to improve the hearing of millions
of people worldwide will only be strengthened by the merger," said
Mr. Westover.
ABOUT OTIX GLOBAL:
Otix Global designs, develops, manufactures and markets advanced
digital hearing aids designed to provide the highest levels of
satisfaction for hearing impaired consumers.
Any statements in this press release about future expectations,
plans and prospects for Otix, including statements about the
expected timetable for consummation of the proposed transaction
among WDH and Otix, and any other statements about WDH's or Otix's
future expectations, beliefs, goals, plans or prospects, constitute
forward-looking statements within the meaning of The Private
Securities Litigation Reform Act of 1995. These statements may
contain the words "believes," "anticipates," "plans," "expects,"
"will" and similar expressions. Actual results may differ
materially from those currently anticipated due to a number of
risks and uncertainties that are subject to change based on factors
that are, in many instances, beyond the control of WDH and Otix.
Risks and uncertainties that could cause results to differ from
expectations include: the merger may not be approved by our
shareholders or the applicable governmental agencies; we may fail
to receive the requisite number of votes or proxies from our
shareholders to obtain a quorum; the merger agreement may be
terminated according to its terms prior to the finalization of the
merger; the announcement of the pending merger with WDH may have a
significant and deleterious effect on our business; the occurrence
of any event or proceeding that could give rise to the termination
of the merger agreement; the inability to complete the merger due
to the failure of the closing conditions to be satisfied; the
outcome of any legal proceedings that may be instituted in
connection with the merger; uncertainties as to the timing of the
merger; the risk that competing offers will be made; the effects of
disruption from the transaction making it more difficult to
maintain relationships with employees, customers, suppliers,
banking partners, other business partners or governmental entities;
other business effects, including the effects of industry, economic
or political conditions outside of the control of WDH and Otix;
transaction costs; actual or contingent liabilities; or other risks
and uncertainties described in the section titled "Risk Factors" in
Otix's Annual Report on Form 10-K for the year ended December 31, 2009, as filed by Otix with the
Securities and Exchange Commission, and described in other filings
made by Otix from time to time with the Securities and Exchange
Commission.
We undertake no obligation to revise our forward-looking
statements to reflect events or circumstances after the date hereof
as a result of new information, future events or otherwise.
SOURCE Otix Global, Inc.
Copyright . 13 PR Newswire