Integra LifeSciences To Sell Certain Neurosurgery Assets To Natus Medical

(RTTNews) - Integra LifeSciences Holdings Corp. (IART) Monday announced a definitive agreement to sell certain neurosurgery assets to Natus Medical Inc. (BABY) for $47.5 million. Natus expects the acquisition to be immediately accretive to earnings.

As part of this divestiture, Integra will sell the global Camino ICP monitoring product line, including its San Diego manufacturing facility, to Natus Medical. The divestiture package also includes certain assets and the U.S. rights relating to Integra's fixed pressure shunts, as well as U.S. rights to Codman's DURAFORM, standard EVD catheters and CSF collection systems.

The divestiture is contingent on the review of the Federal Trade Commission and the consummation of Integra's proposed acquisition of Codman Neurosurgery from Johnson & Johnson.

In 2016, the neurosurgery product lines for sale generated around $50 million of revenue. Integra expects fourth quarter revenue contribution of approximately $60 million to $65 million from the planned acquisition of Codman Neurosurgery. For the full year 2018, Integra expects Codman Neurosurgery to contribute between $290 million and $300 million in revenue.

Integra continues to expect Codman Neurosurgery's accretive contribution to adjusted earnings per share to be at least $0.22 in 2018.

Both transactions are expected to close in October 2017 after securing regulatory clearance.