Becton Dickinson Banks $540M With Surgical Unit Sale, 360 Employees To Join Steris

Becton Dickinson And Company BDX inked a pact with Steris plc STE to sell its Surgical Instrumentation platform for $540 million.

The Franklin Lakes, N.J.-based company will use the cash proceeds for capital allocation priorities for a "durable growth profile."

The platform to be divested has three dedicated manufacturing sites and about 20,000 SKUs in its portfolio, including V. Mueller, Snowden-Pencer, and Genesis branded products, and three manufacturing facilities in Cleveland, St. Louis, Mo., and Tuttlingen, Germany. 

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The latest development streamlines Becton Dickinson's operations and supports the "BD 2025 strategy" for expansion.

Becton Dickinson's surgical instrumentation platform complements Steris's Healthcare segment. "This transaction further advances the BD Interventional segment's focus on high-growth end markets," said Becton Dickinson president Rick Byrd. 

Approximately 360 Becton, Dickinson employees will transfer to Steris once the transaction is final. 

The divestiture will close within Becton, Dickinson's fiscal year 2023.

Price Action: BDX shares are trading lower by 0.48% to $257.38 on the last check Tuesday.