Today Medtronic announced that it is selling certain businesses within the patient monitoring and recovery division of its minimally invasive therapies group to Cardinal Health for $6.1 billion. Cardinal Health will pick up Medtronic’s patient care, deep vein thrombosis and nutritional insufficiency business (including the company’s dental/animal health, wound care, incontinence, electrodes, SharpSafety, perinatal protection, blood collection and enteral feeding products), while Medtronic will keep its respiratory and monitoring solutions business (including airway, ventilators, monitors, sensors and health informatics products) and renal care solutions business.
“Medtronic has had a specific focus over the past several years on ensuring that we are delivering compelling clinical and economic value to health systems and patients around the world. Ultimately, we came to the conclusion that these products – while truly meaningful to patients in need – are best suited under ownership that can provide the investment and focus that these businesses require,” said Medtronic chairman and CEO Omar Ishrak in a press release. “At the same time, we can put these proceeds to work, investing over the long-term in higher returning internal and external opportunities that are more directly aligned with our growth strategies of therapy innovation, globalization, and economic value.”
The transaction is expected to close in the Medtronic’s Q2 2018.