On August 6th, Invacare announced that it has completed the sale of Champion Manufacturing. Invacare's domestic medical recliner business for dialysis clinics sold for about $45 million in cash, subject to certain post-closing adjustments.
Based on available information, the branch was purchased by the Los Angeles-based private equity firm Levine Leichtman Capital Partners.
The sale is consistent with Invacare’s globalization strategy. According to their press release, they plan to harmonize core global product lines and reduce complexity within its business.
“The net proceeds from this divestiture also give us the opportunity to strengthen our balance sheet through the continued reduction of debt,” stated Blouch.
The net sales for Champion were about $22.1 million for 2012 and $12.8 million for the first six months of 2013. EBITDA: $5.5 million for 2012 and $3.1 million for the six months ended June 30, 2013.
SunTrust Robinson Humphrey acted as exclusive financial adviser and Calfee, Halter & Griswold LLP acted as legal counsel to Invacare during the transaction.