Warsaw-based Zimmer Holdings Inc. (NYSE: ZMH) has announced the sale of nearly $7.7 billion in senior notes to help pay for the proposed $13.4 billion bid to acquire Biomet. The orthopedics manufacturer has also revised its previous expectation of closing the merger to the end of the first quarter, “or shortly thereafter.” March 11, 2015

News Release

WARSAW, Ind. – Zimmer Holdings, Inc. (NYSE and SIX: ZMH) announced today that it has agreed to sell $7.65 billion of senior notes in an underwritten public offering through Citigroup Global Markets Inc., Credit Suisse Securities (USA) LLC, J.P. Morgan Securities LLC and Merrill Lynch, Pierce, Fenner & Smith Incorporated, as joint book-running managers. The offering consists of the following tranches:

Description – Amount – Maturity

1.450 percent Senior Notes – $500,000,000 – Due 2017

2.000 percent Senior Notes – $1,150,000,000 – Due 2018

2.700 percent Senior Notes – $1,500,000,000 – Due 2020

3.150 percent Senior Notes – $750,000,000 – Due 2022

3.550 percent Senior Notes – $2,000,000,000 – Due 2025

4.250 percent Senior Notes – $500,000,000 – Due 2035

4.450 percent Senior Notes – $1,250,000,000 – Due 2045

The offering is expected to close on March 19, 2015.

The Company intends to use the net proceeds from the offering to finance a portion of the cash consideration for its previously announced merger with LVB Acquisition, Inc. (“LVB”), the parent of Biomet, Inc. (“Biomet”), payment of fees and expenses incurred in connection with the merger and the payment of a portion of LVB's funded debt. The merger is expected to close by the end of the first quarter of 2015, or shortly thereafter, subject to applicable regulatory approvals. In the event that the Biomet merger is not consummated, the Company expects to use the net proceeds from the offering of the Notes, together with cash on hand, to redeem the Notes.

The offering of the Notes is not conditioned upon the consummation of the Biomet merger.

These documents will also be filed with the SEC and will be available on the SEC's website at http://www.sec.gov.

About the Company

Founded in 1927 and headquartered in Warsaw, Indiana, Zimmer designs, develops, manufactures and markets orthopaedic reconstructive, spinal and trauma devices, dental implants and related surgical products. Zimmer has operations in more than 25 countries around the world and sells products in more than 100 countries. Zimmer's 2014 sales were approximately $4.7 billion. Zimmer is supported by the efforts of more than 9,000 employees worldwide.

Source: Zimmer Holdings Inc.

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