PR Newswire06.27.17
Hill-Rom Holdings Inc. announced that it has entered an agreement to sell its Völker business, which primarily serves the European long-term care bed market, to an affiliate of CoBe Capital. Under the terms of the transaction, the CoBe affiliate will acquire certain Völker assets and assume the operations and employees at Völker's current location in Witten, North-Westphalia, Germany. Subject to certain regulatory approvals and other customary closing conditions, the companies expect to close the transaction during Hill-Rom's fiscal fourth quarter. Financial terms were not disclosed.
"This transaction reflects Hill-Rom's ongoing efforts to optimize our portfolio and direct investment, resources and focus on key, strategic growth platforms," said Hill-Rom president and CEO John J. Greisch.
Völker, with 2016 annual revenue of approximately $40 million, is one of Germany's premier producers of hospital and long-term care beds. The company was acquired by Hill-Rom in 2012 and offers products and solutions under the Völker brand focused on providing active patient-centered care. In connection with this transaction, Hill-Rom expects to record an after-tax special charge of approximately $30 million, principally for the non-cash write down of assets and transaction-related costs.
In addition to the divestiture of Völker, Hill-Rom previously completed the sale of other non-core assets, including its Architectural Products and WatchChild businesses. Collectively, the three businesses generated 2016 annual revenue of approximately $75 million.
"This transaction reflects Hill-Rom's ongoing efforts to optimize our portfolio and direct investment, resources and focus on key, strategic growth platforms," said Hill-Rom president and CEO John J. Greisch.
Völker, with 2016 annual revenue of approximately $40 million, is one of Germany's premier producers of hospital and long-term care beds. The company was acquired by Hill-Rom in 2012 and offers products and solutions under the Völker brand focused on providing active patient-centered care. In connection with this transaction, Hill-Rom expects to record an after-tax special charge of approximately $30 million, principally for the non-cash write down of assets and transaction-related costs.
In addition to the divestiture of Völker, Hill-Rom previously completed the sale of other non-core assets, including its Architectural Products and WatchChild businesses. Collectively, the three businesses generated 2016 annual revenue of approximately $75 million.