Report
Alex Morozov

Sivantos and Widex Merger a Necessary Step for Both Firms; Our Stance on Sonova and Demant Unchanged

The May 16 announcement of a merger between Sivantos and Widex is the hearing industry's most meaningful development since Sivantos itself was purchased by EQT Funds from Siemens back in 2015. This deal places Sivantos-Widex roughly in line with Sonova and William Demant in terms of market share, at approximately 25% each. It also addresses both firms' relative weaknesses: For Sivantos, Widex offers a product portfolio that tends to skew to the premium side, with strong reputation and brand awar...
Underlying
SONOVA HOLDING AG

Sonova Holding is a hearing instrument manufacturer based in Switzerland. Co. specializes in the design, development, manufacture, and worldwide distribution of technologically advanced wireless and hearing systems for adults and children with hearing impairment. Co. offers a range of digital hearing instruments, along with high tech specialty products and complementary wireless communications systems. Co. comprises two hearing instrument divisions, Phonak and Unitron Hearing, as well as Phonak Communications, a developer of wireless communication devices for both hearing instrument and other applications.

Provider
Morningstar
Morningstar

Morningstar, Inc. is a leading provider of independent investment research in North America, Europe, Australia, and Asia. The company offer an extensive line of products and services for individual investors, financial advisors, asset managers, and retirement plan providers and sponsors.

Morningstar provides data on approximately 530,000 investment offerings, including stocks, mutual funds, and similar vehicles, along with real-time global market data on more than 18 million equities, indexes, futures, options, commodities, and precious metals, in addition to foreign exchange and Treasury markets. Morningstar also offers investment management services through its investment advisory subsidiaries and had approximately $185 billion in assets under advisement and management as of June 30, 2016.

We have operations in 27 countries.

Analysts
Alex Morozov

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