Invacare Corp. (IVC) Completes $23M Sale of Altimate Medical

Invacare Corp. (NYSE: IVC) has completed the sale of Altimate Medical, Inc. (Altimate), its domestic manufacturer of stationary standing assistive devices for use in patient rehabilitation, to Rockwood Equity Partners for approximately $23,000,000 in cash, subject to a $1,000,000 escrow arrangement and further subject to certain post-closing adjustments.

Robert K. Gudbranson, Invacare Interim President and Chief Executive Officer, said, ''Altimate is a strong business, but it is outside of Invacare's core North America/Home Medical Equipment product portfolio. I am grateful to the associates at Altimate for the contributions that they have made to Invacare. The net proceeds from this divestiture give us the opportunity to strengthen our balance sheet through the continued reduction of debt.''

Subject to the escrow arrangement and certain post-closing adjustments, Invacare preliminarily estimates that it will realize net proceeds from the sale of the Altimate business of approximately $21,700,000, net of tax and expenses. Invacare will use the proceeds to reduce debt outstanding under its revolving credit facility. For the six months ended June 30, 2014, net sales for the Altimate business were approximately $8,937,000 and earnings before tax before any pro forma adjustments were approximately $2,312,000.

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