STAAR Surgical terminates Alcon merger agreement

Core Viewpoint - STAAR Surgical has terminated its merger agreement with Alcon, valued at $1.6 billion, after failing to secure necessary shareholder votes [1][2] Group 1: Merger Termination - The merger was originally announced in August 2025, but STAAR could not gain approval from shareholders during a special meeting on January 6, 2026 [1][2] - STAAR's CEO expressed respect for the vote outcome and a commitment to work with shareholders for the company's future as a standalone entity [2] Group 2: Financial Performance - STAAR's Q1 2025 financial results showed a significant 45% decline in sales, dropping to $42.6 million from $77.4 million in Q1 2024 [3] - The CEO had previously stated that the merger with Alcon was the best path forward for shareholder value [3] Group 3: Shareholder Opposition - Broadwood Partners, STAAR's largest shareholder with a 27.5% stake, opposed the merger, claiming the board did not pursue an adequate sales process [4] - Broadwood highlighted that Alcon had previously offered $55 per share in October 2024, significantly higher than the August offer of $28 per share [4] Group 4: Communication Issues - Broadwood accused STAAR's board of being unresponsive regarding the merger process, stating that they received no updates after requesting necessary documents [5] Group 5: Alternative Transaction Efforts - Broadwood requested new directors to oversee the merger and STAAR and Alcon agreed to a 30-day "go-shop" period to explore alternative transactions [6] - Alcon increased its bid from $1.5 billion to $1.6 billion in December 2025, raising the price per share to $30.75, but this did not change investor sentiment [7]