Broadwood Partners Condemns Alcon’s Fallacious Attacks on STAAR Surgical and Its Prospects

Broadwood Partners, L.P. and its affiliates (“Broadwood” or “we”) today commented on the investor presentation issued by Alcon Inc. (“Alcon”) (NYSE: ALC) regarding its proposed acquisition of STAAR Surgical Company (“STAAR” or the “Company”) (NASDAQ: STAA). Broadwood, which owns 27.5% of STAAR’s outstanding common stock, continues to urge its fellow shareholders to vote on its GREEN Proxy Card “AGAINST” the proposed transaction.

Neal C. Bradsher, Broadwood Founder and President, said:

“Today’s press release and presentation from Alcon, which required STAAR’s approval, is disappointingly replete with fallacious arguments and baseless claims, all in service of preserving Alcon’s privileged but misbegotten position as STAAR’s chosen acquirer. We are dismayed that the STAAR Board, despite its fiduciary duty to STAAR shareholders, would sanction the publication of such misleading statements regarding STAAR’s own business prospects and the integrity and results of two of its largest shareholders.

Given the overwhelmingly negative reaction of STAAR shareholders (and all three proxy advisors) to the timing, process and price of the proposed Alcon transaction, there is no reason for the Board of Directors to take direction from Alcon. There is no justification for prolonging this process, and the distraction and damage to STAAR’s business it creates, for Alcon’s benefit. Shareholders should be allowed to reject this transaction, as they were poised to do before the Board first adjourned, and then further postponed, the Special Meeting. After this deal is rightly rejected, the Board will have complete freedom to decide when and how, if at all, to conduct a sale process; the Board therefore does not need Alcon’s permission to run a ‘go-shop’ and should not further delay the vote.

Lacking facts on their side and good arguments on the merits, Alcon and STAAR have taken instead to ad hominem attacks. Needless to say, Alcon and STAAR have grossly misrepresented our track record in specific investments and overall, while ignoring our numerous successes: $1 million invested with Broadwood at the beginning of 2000 is now worth more than $47 million. If Alcon had generated annualized shareholder returns since its spinout in 2019 on par with our record, then Alcon’s stock would be trading at more than $150 per share, instead of $75. Perhaps then Alcon would have the mandate from its own shareholders to pay a fair price for STAAR.