Cardinal Health completes sale of Cordis business to Hellman & Friedman

Rhea-AI Summary

Cardinal Health has finalized the sale of its Cordis business to Hellman & Friedman for approximately $1 billion. This sale includes the assumption of certain liabilities and retention of specific working capital accounts. CEO Mike Kaufmann emphasized the company's strategic portfolio evaluation approach and commitment to growth, while H&F's CEO Shar Matin expressed excitement about Cordis's independent future and innovative product offerings. Cardinal Health will report its fiscal year 2021 results on August 5, prior to market opening.

Positive

• Successful sale of Cordis business for approximately $1 billion.
• Strategic divestiture aligns with Cardinal Health's long-term growth strategy, emphasizing disciplined portfolio management.

Negative

• None.

DUBLIN, Ohio, Aug. 2, 2021 /PRNewswire/ -- Cardinal Health (NYSE: CAH) and Hellman & Friedman (H&F) announced today the completion of the previously announced sale of Cardinal Health's Cordis business to H&F. The sale price of approximately $1 billion includes the buyer's assumption of certain liabilities and the seller's retention of certain working capital accounts.

"We appreciate H&F's partnership throughout the transaction, and we are excited about Cordis's future under H&F's ownership," said Mike Kaufmann, CEO of Cardinal Health. "As we shared previously, this divestiture demonstrates our disciplined portfolio evaluation approach, and we remain committed to investing in our strategic growth areas."

"We are thrilled to begin this next chapter for Cordis and value the partnership with Cardinal Health through the transition," said Shar Matin, CEO of Cordis. "We believe that an independent Cordis company, combined with an innovative approach to bring differentiated products to market, will allow us to create incremental value for teammates, customers and investors."

Cardinal Health plans to release its fourth-quarter and year-end financial results for its fiscal year 2021 on August 5 prior to the opening of trading on the New York Stock Exchange. The company will webcast a discussion of these results beginning at 8:30 a.m. Eastern.

About Cardinal Health
Cardinal Health is a distributor of pharmaceuticals, a global manufacturer and distributor of medical and laboratory products, and a provider of performance and data solutions for health care facilities. With 50 years in business, operations in more than 40 countries and approximately 48,000 employees globally, Cardinal Health is essential to care. Information about Cardinal Health is available at cardinalhealth.com.

About Hellman & Friedman
Hellman & Friedman is a preeminent global private equity firm with a distinctive investment approach focused on large-scale equity investments in high quality growth businesses. H&F seeks to partner with world-class management teams where its deep sector expertise, long-term orientation and collaborative partnership approach enable companies to flourish. H&F targets outstanding businesses in select sectors including software & technology, financial services, healthcare, consumer & retail, and other business services. The firm is currently investing its tenth fund, with over $24 billion of committed capital, and has over $80 billion in assets under management and committed capital. Learn more about H&F's defining investment philosophy and approach to sustainable outcomes at www.hf.com.

Contacts

Cardinal Health:

Media: Erich Timmerman, erich.timmerman@cardinalhealth.com and (847) 887-1487.
Investors: Kevin Moran, kevin.moran@cardinalhealth.com and (614) 757-7942.

H&F:
Media: Winnie Lerner, winnie.lerner@fgh.com and (917) 375-5652.

Cautions concerning forward-looking statements
This release contains forward-looking statements addressing expectations, prospects, estimates and other matters that are dependent upon future events or developments. These statements may be identified by words such as "expect," "anticipate," "intend," "plan," "believe," "will," "should," "could," "would," "project," "continue," "likely," and similar expressions, and include statements reflecting future results or guidance, statements of outlook and various accruals and estimates. These matters are subject to risks and uncertainties that could cause actual results to differ materially from those projected, anticipated or implied. Cardinal Health is subject to additional risks and uncertainties described in Cardinal Health's Form 10-K, Form 10-Q and Form 8-K reports and exhibits to those reports. This release reflects management's views as of August 2, 2021. Except to the extent required by applicable law, Cardinal Health undertakes no obligation to update or revise any forward-looking statement.

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SOURCE Cardinal Health

FAQ

What is the sale price of Cardinal Health's Cordis business to Hellman & Friedman?

The sale price of Cardinal Health's Cordis business is approximately $1 billion.

When is Cardinal Health's fiscal year 2021 financial results announcement?

Cardinal Health plans to announce its fiscal year 2021 financial results on August 5, 2021.

What does the sale of Cordis mean for Cardinal Health's strategy?

The sale demonstrates Cardinal Health's disciplined portfolio evaluation approach and commitment to investing in strategic growth areas.

Who expressed excitement about the future of Cordis after the sale?

Shar Matin, CEO of Cordis, expressed excitement about Cordis's future under Hellman & Friedman ownership.

What liabilities are involved in the sale of Cordis by Cardinal Health?

The sale includes the buyer's assumption of certain liabilities and the seller's retention of certain working capital accounts.