Boston Scientific Bolsters Guidant Bid

The medical device maker makes a definitive $25 billion offer with a new twist aimed at heading off antitrust concerns.
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Boston Scientific

(BSX) - Get Report

Sunday bolstered its bid for

Guidant

(GDT)

, the troubled maker of pacemakers and heart defibrillators.

Boston Scientific, which also makes medical devices, made a definitive $25 billion offer for Guidant that is similar to its earlier December offer, according to

The Associated Press

.

The new offer includes a twist, however. If Boston Scientific¿s bid is successful, it would sell Guidant¿s vascular intervention and endovascular business to

Abbott Laboratories

(ABT) - Get Report

. It would also share rights to Guidant¿s drug-coated stent business with Abbott.

Boston Scientific reportedly said the proposed sale to Abbott is aimed at heading off antitrust concerns.

Guidant's sales and share price have suffered since June, when it began recalling or issuing safety warnings on tens of thousands of pacemakers and defibrillators. It now faces a slew of lawsuits, as well as investigations by state and federal authorities.

Nevertheless, its problems haven¿t stopped rivals from trying to buy it. Boston Scientific hopes its bid will beat a smaller one from

Johnson & Johnson

(JNJ) - Get Report

.

Boston Scientific shares finished last week at $26.24. Guidant shares, meanwhile, ended the week at $67.35.