Zimmer Biomet Holdings Announces Launch of Secondary Offering of Common Stock and Concurrent Share Repurchase from Selling Stockholders

Zimmer Biomet Holdings, Inc. announced that certain of its stockholders, consisting of affiliates of Blackstone and Goldman Sachs, intend to offer for sale in an underwritten secondary offering 11,027,558 shares of the common stock of Zimmer Biomet Holdings, Inc. (“Zimmer Biomet”). The selling stockholders will receive all of the proceeds of the offering. Neither Zimmer Biomet nor any of its directors, officers or other stockholders is offering shares of common stock in the offering.

Subject to the completion of the offering, Zimmer Biomet intends to purchase from the underwriter $250 million of the shares of common stock being sold by the selling stockholders at a price per share equal to the per share purchase price payable by the underwriter to the selling stockholders. These repurchased shares will no longer be outstanding following completion of the offering. Zimmer Biomet intends to fund the repurchase with cash on hand. This share repurchase would be in addition to approximately $165 million of shares that Zimmer Biomet has already purchased during 2016 as part of its share repurchase programme.

As part of the offering, Zimmer Biomet and each of its directors and executive officers, and certain of its stockholders affiliated with KKR, Blackstone, Goldman Sachs and TPG will enter into lock-up agreements with respect to the sale of shares of common stock of Zimmer Biomet for a 60-day period following the offering, subject to customary exceptions.