Kirkland Advises Owens & Minor on Sale of Products & Healthcare Services Segment

Kirkland & Ellis advised Owens & Minor, Inc. (NYSE: OMI) on a definitive agreement to sell the company's Products & Healthcare Services (P&HS) segment to Platinum Equity. Over the last several years, Owens & Minor has been strategically moving towards expanding its leadership position in the very attractive home-based care space. This transaction will allow the company to focus on a simpler business model and allow for a more appropriate valuation as a leader in this segment. Under the terms of the agreement, Owens & Minor will receive a cash payment of $375 million at closing of the sale, subject to customary adjustments for working capital, net debt and transaction expenses. Owens & Minor will retain a 5% interest in the P&HS business, as well as a preferred equity return that, in the event of a future divestiture of the business, could result in Owens & Minor receiving a portion of divestiture proceeds. The transaction is expected to close near the end of the year subject to customary closing conditions, including the Hart Scott Rodino Act and other regulatory approvals.

Read the transaction press release

The Kirkland team included corporate lawyers Allie Wein, Dan Li, Hayley Haggard and Sam Paine; debt finance lawyers Tom Dobleman and Lee Discher; capital markets lawyer Jen Lee; tax lawyers Thad Davis and Steven Cantor; executive compensation lawyers Steve Jacobson and Katherine Nemeth; technology & IP transactions lawyers Dan Lewis, Melissa Moreno and Margot Sheridan; healthcare lawyers Dennis Williams and Will Richmond; employee benefits lawyer Justin Coddington; employment & labor lawyer Risa Salins; real estate lawyers Josh Faulkner and Adam Amdur; antitrust & competition lawyers Andrea Murino and Carolina Velarde; and environmental transactions lawyer Sam Dykstra.