Cardinal Health announces closing of Cardinal Health China distribution business divestiture to Shanghai Pharma.

Cardinal Health announced the closing of its divestiture of its Cardinal Health China business to Shanghai Pharmaceuticals Holding Co., Ltd. The sale includes Cardinal Health’s pharmaceutical and medical products distribution business in China.

The divestiture does not include Cardinal Health’s remaining businesses in China, including Cordis, its recently acquired Patient Recovery business, its medical sourcing team, or other functions.

The gross proceeds of the transaction are $1.2 billion; the net proceeds are approximately $800 million after adjusting for third party indebtedness, withholding taxes, and other transaction expenses and adjustments.

Cardinal Health plans to provide more detail on this divestiture in connection with its second quarter earnings call scheduled for February 8, 2018.

(Source: Cardinal Health)