CareFusion Corporation (San Diego, CA, USA), a global medical technology company, and Medline Industries (Mundelein, IL, USA), the largest privately held manufacturer and distributor of healthcare products in the United States, have announced an agreement for the sale of the CareFusion International Surgical Products (ISP) distribution business to Medline for approximately US$130 million.

The ISP business, which generates sales of approximately $440 million annually, is based in Rolle (Switzerland), with operations in 16 European and Asian-Pacific countries and distribution and assembly facilities located in Germany, France, Spain, and Australia. The ISP business employs more than 850 people and sells medical consumable products in four main categories: drapes and gowns, custom procedure trays, surgeon and exam gloves, and fluid management products. As part of the agreement, Medline will continue to distribute CareFusion products in certain geographies. The acquisition is expected to close in April 2011, subject to customary conditions.

Medline, which manufactures and distributes more than 100,000 products to hospitals, extended care facilities, surgery centers, physician offices, and home care dealers, serves as the primary US distributor to more than 450 major hospitals and health care systems. With the acquisition of ISP, Medline will become the largest global provider of custom procedure trays.

"The divestiture of ISP will focus CareFusion on the growth opportunities we have outside the United States for our core medical technologies and disposable products," said David Schlotterbeck, former chairman and CEO of CareFusion, who will retire on February 28, 2011. "Medline is an ideal fit for our global ISP employees and customers, who will benefit from the alignment with an industry leader in medical products manufacturing and distribution."

"ISP is a strong business with a lot of talented employees who, like us, place a high priority on customer focus, service, quality, and integrity," said Andy Mills, president of Medline. "Combining our strong portfolio of products and clinical and supply programs with CareFusion's products and global platform will allow us to bring additional value to our customers."
 

Guangzhou Jia Yu medical equipment Limited