Demarest advises Halyard Health on Brazil S&IP divestiture

Demarest has advised Halyard Health on the Brazilian segment of its divestiture of its surgical and infection prevention (S&IP) business to US healthcare logistics company Owens and Minor, a deal valued at $710 million.



The deal resulted in local subsidiary Halyard Brasil Consultoria selling certain assets to the Brazilian Subsidiary of Ownes & Minor, O&M Brasil Consutoria Ltda. Formerly part of Kimberly-Clark, Halyard Health became an independent company headquartered in Alpharetta, Georgia, in 2014, and operates 11 global manufacturing facilities.

Demarest’s lawyers that advised on the transaction were tax partner Carlos Eduardo Orsolon, labour partner Renato Canizares , M&A senior associates  Bruna Pacheco and Beatriz Buchaim, and labour associate Renato Dale.

Halyard said it intends to use the approximately $600 million in net proceeds from the sale to pay off its existing credit facility and to fund internal investment and M&A.

“The divestiture of S&IP transforms us into a focused, pure-play medical devices business with a clear playbook for solid revenue and earnings growth,” Joe Woody, Halyard’s CEO, said.

“The additional financial capacity will fund our dual-track growth strategy, focused on product innovation and strategic M&A and underpinned by a commitment to commercial excellence,” he added