One of the Tri-Counties’ largest public companies, Mentor Corp., was acquired by Johnson & Johnson Dec. 1 for about $1.07 billion. Under the terms of the agreement, Johnson & Johnson will start a tender offer to purchase all shares of Mentor at $31 – nearly double Mentor’s Nov. 28 closing price of $16.15.

Santa Barbara-based Mentor, which was founded in 1969, is the world’s largest maker of breast implant products. The company employs approximately 1,300 people around the world. Between 2005 and 2007, its revenue jumped 39 percent to more than $373 million in 2007.

The Johnson & Johnson acquisition is conditioned on clearance under the Hart-Scott-Rodino Antitrust Improvements Act and other customary closing conditions, according to a press release. The $1.12 billion estimated net value of the transaction is based on Mentor’s 34.6 million fully diluted shares outstanding, plus estimated net debt at time of closing. The boards of directors of Johnson & Johnson and Mentor have approved the transaction.

Upon the acquisition’s announcement, Mentor shares jumped more than $14, or about 90 percent, to $30.59 in Dec. 1 afternoon trading.

For the full story, see the Friday, Dec. 5 issue of the Business Times.