Baxter Agrees To Sell Its Kidney Care Segment To Carlyle For $3.8 Bln

(RTTNews) - Tuesday, Baxter International Inc. (BAX) announced a definitive agreement to divest its Kidney Care segment, which will be rebranded as Vantive, to Carlyle (CG) for $3.8 billion.

Baxter will receive around $3.5 billion in cash, leading to estimated net after-tax proceeds of $3 billion. These funds are earmarked for reducing Baxter's debt.

Carlyle's investment in Vantive is in collaboration with Atmas Health, a consortium of three prominent industry players established in September 2022, aimed at acquiring and developing a robust healthcare enterprise. Kieran Gallahue will take on the role of Chairman, while Chris Toth, the executive VP and group president of Kidney Care at Baxter, will step in as Vantive's CEO.

Vantive provides essential products and services for peritoneal dialysis, hemodialysis, and organ support therapies, including continuous renal replacement therapy.

The transaction is anticipated to close in late 2024 or early 2025.