Covidien to sell certain product lines
NEW YORK - Covidien PLC will sell its sleep diagnostics and oxygen therapy product lines and plans to sell its sleep therapy product line so it can concentrate on its higher-margin businesses.
The medical device maker said Embla, part of Iceland’s privately held Flaga Group, will buy its sleep diagnostics products for an undisclosed amount.
Covidien’s oxygen therapy products will be sold to Chart Industries Inc. of Garfield Heights, Ohio, for an undisclosed sum.
The three product lines had combined fiscal 2008 sales of approximately $175 million.
Covidien said it expects to close on the sales to Embla and Chart Industries by the end of the year. Neither deal is expected to affect 2010 earnings per share.
Covidien is incorporated in Ireland but run out of Mansfield, Mass.