Cardinal Health has completed the sale of its Cordis medical device business to private equity firm Hellman & Friedman for about $1 billion, the healthcare services company said Aug 2.
"We are thrilled to begin this next chapter for Cordis and value the partnership with Cardinal Health through the transition," Cordis CEO Shar Matin said in a news release. "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 announced March 12 that it planned to sell Cordis to Hellman & Friedman. Cardinal CEO Mike Kaufmann said at the time the decision to sell was made to focus Cardinal's resources on strategic growth areas.
Cordis makes cardiology and endovascular devices. Johnson & Johnson sold the business to Cardinal Health in 2015 for about $2 billion.
Cardinal previously estimated that after the deal closed, the sale of Cordis would decrease its medical segment profit by $60 million to $70 million on an annual run-rate basis. It also predicted a pretax loss of up to $120 million in the third quarter of 2021.
Read the full news release here.