- Posted by admin
- On May 7, 2017
Carestream, Atlanta, along with its parent company, Onex Corp, has entered into an agreement to sell its dental digital business, Carestream Dental, to funds managed by Clayton, Dubilier & Rice (CD&R), a global private investment firm, and CareCapital Advisors Ltd, a specialist investment platform focused on dental and consumer health in Asia, and part of Hillhouse Capital Management, which owns several dental platforms in China.
The new independent company will be named Carestream Dental.
CD&R and CareCapital intend to partner with the Carestream Dental team to build on the company’s market position and accelerate growth. According to a press release from Carestream, the company is committed to working with CD&R and Hillhouse/CareCapital to ensure a smooth transition for its dental digital employees and customers.
Lisa Ashby, president of Carestream Dental, will become CEO of the new independent company when the deal is complete.
Carestream’s dental digital arm provides imaging systems and practice management software for general and specialist dental practices. Dental x-ray film and anesthetics are not included in the agreement and will remain with Carestream. The company’s remaining business includes: medical imaging equipment, healthcare IT solutions, medical and dental film, nondestructive testing film and imaging equipment, and precision films and contract coating services.
Subject to regulatory and other approval, the sale is expected to close in the third quarter.
With respect to France, where the opinion of the works council is mandatory for a project of this kind, Carestream will not undertake a legal obligation to sell the business until the relevant works council’s consultation has been completed, according to a press release from the company.