Biomet Group Files to Sell Shares in IPO to Help Pay Down Debt

Biomet Group Inc., a closely held maker of orthopedic medical devices whose shareholders include Blackstone Group LP, filed to sell shares in a U.S. initial public offering to pay down debt.

Biomet, whose owners also include TPG Capital and Goldman Sachs Group Inc., had revenues of more than $3 billion in its latest fiscal year, according to the U.S. regulatory filing. While the Warsaw, Indiana-based company listed $100 million as the possible size of the deal.

The proceeds will be used toward paying debt, the filing said. The company’s net debt was 5.2 times earnings before interest, taxes, depreciation and amortization last year, compared with an average of 0.7 times for larger peers including Stryker Corp., Smith & Nephew Plc and Zimmer Holdings Inc. (ZMH), according to Bloomberg Industries analysts.

Bank of America Corp., Citigroup Inc. and JPMorgan Chase & Co. are among banks managing the IPO, the filing said. Biomet will trade under the symbol BMET.

Biomet reported net income of $36 million for the six months ended Nov. 30, compared with a net loss of $97.7 million a year earlier. Total debt as of Nov. 30 was $5.9 billion.

The company was publicly traded until 2007 when it was acquired by the group of private equity firms under the name LVB Acquisition Inc. The filing today said LVB will change its name to Biomet Group Inc. ahead of the IPO’s completion.

To contact the reporter on this story: Ruth David in London at rdavid9@bloomberg.net

To contact the editors responsible for this story: Jacqueline Simmons at jackiem@bloomberg.net Bruce Rule, Robert Valpuesta

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