Covidien purchase will see Medtronic rival J&J in size

According to Reuters UK, US authorities have given the all-clear for medical device group Medtronic's purchase of Covidien, which allows it to take advantage of tax breaks in Ireland.

The clearance is significant, as the acquisition is set to transform Medtronic into a company of the scale to rival Johnson & Johnson.

The Federal Trade Commission has cleared the $42.9 billion deal to buy Dublin-based Covidien, but on condition that it sells its drug-coated balloon catheter business.

However, approvals from the EU and China are still awaited.

Other movements reported by Reuters this week include the three-way deal which will see GSK buy the majority of the vaccine business at Novartis, whilst Novartis buys GSK's cancer drugs - and the two firms will team up to focus on consumer healthcare.

This deal has also now been given clearance from the US. Conditions include Novartis selling its nicotine patch product line.