Covidien, a provider of health care products, completed the previously announced sale of its sleep therapy continuous positive airway pressure (CPAP) and bi-level products to PH Invest, a privately held company located in Luxembourg. Financial terms of the transaction were not disclosed.
The sale, including products sold under the GoodKnight and Sandman brands, was made following a thorough review and evaluation of a number of strategic alternatives. According to information from Covidien, the decision is consistent with the company’s strategy to streamline its portfolio and reallocate resources to its faster-growing, higher-margin businesses, where the company has, or can develop, a global competitive advantage.
The transaction is not expected to have a material effect on Covidien’s operating income or earnings per share for fiscal 2010 or 2011.