Global healthcare products manufacturer Johnson & Johnson on Wednesday said it would acquire global manufacturer of orthopaedic devices Synthes Inc for $21.3 billion in a cash and stock deal.

Both companies have entered into a definitive agreement whereby Johnson & Johnson would acquire Synthes for $21.3 billion, a company statement said.

“Orthopaedics is a large and growing $37-billion global market and represents an important growth driver for Johnson & Johnson. Synthes is widely respected for its innovative, high quality products, R&D capabilities, its commitment to education, the highest standards of service and extensive global footprint,” Johnson & Johnson Chairman and Chief Executive Officer Bill Weldon said. The transaction is expected to close during the first half of 2012.

“The combination presents a significant opportunity to jointly bring our products, services and educational offerings to the next level. Together, we will be a more attractive and exciting company for our employees and a more resourceful partner for our customers,” Synthes President and CEO Michel Orsinger said. The transaction is subject to clearance under the Hart—Scott—Rodino Antitrust Improvements Act, approval by the European Commission and regulatory approval in certain other jurisdictions.

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