Guidant Revisited...

I really thought the GDT saga was finished for good when JNJ came back with their revised bid, after initially threatening to walk away from the deal altogether (because of GDT product recalls). At the time, everyone thought JNJ got themselves a sweet deal (through some tough negotiating!) at around around $63 ($13 lower than their original bid). Boston Scientific however today announced a 14% higher bid, which throws the whole deal up in the air. In either case, GDT shareholders who bought the stock @ $55.50 (as I suggested) on Nov. 7th are currently sitting on a solid 20% profit with the potential for a bit more, should the M&A process drag on for a while longer. I would be curious to see what JNJ's reaction to all of this is going to be. My bet would be that they may need to raise their offer as well -- they can't afford to be left behind in the dust, when it comes to the therapeutic medical devices business.