Tokyo, January 5, 2016 - Panasonic Healthcare Holdings, Co., Ltd. ("Panasonic Healthcare") and Bayer Aktiengesellschaft ("Bayer AG") today announced the completion of Panasonic Healthcare’s acquisition of Bayer AG’s Diabetes Care business. Panasonic Healthcare is backed by funds sponsored by leading global investment firm KKR and the Panasonic Corporation. The total consideration for the transaction is around EUR 1 billion (approximately ¥132 billion at the exchange rate of EUR1=¥132).
The acquired Diabetes Care business will operate as a stand-alone company named Ascensia Diabetes Care that will provide high-quality solutions and precision tools to serve the needs of people with diabetes. Together Ascensia Diabetes Care and Panasonic Healthcare will develop, manufacture, market and sell blood glucose monitoring meters and strips for people with diabetes in more than 125 countries.
Hidehito Kotani, President of Panasonic Healthcare said, "Our goal is to ensure high-quality technologies and diabetes care solutions are available to all patients who need them. Bringing together Panasonic Healthcare and Ascensia Diabetes Care will significantly help to achieve this goal. Together with KKR, the companies will be able to serve more patients in more places across the globe with world-class products. We greatly look forward to expanding this business and innovating new solutions at this integral point in the diabetes care industry."
Michael Kloss, Chief Executive Officer of Ascensia Diabetes Care, added, "We are excited to launch as Ascensia Diabetes Care and continue to be a trustworthy provider of reliable, high-performance solutions that could make a positive, daily difference for people with diabetes. This is a unique and exciting opportunity for us to expand our business and better serve our patients, customers and partners worldwide. Panasonic Healthcare has been a pioneer in the development of key diabetes care products, and we are thrilled to work together with them to introduce new and innovative technologies that enhance the lives of patients living with diabetes. We are focused on moving forward into an exciting future and continuing to play a leading role in the diabetes care industry."
Johannes Huth, Member & Head of KKR Europe, Africa and Middle East, and Hiro Hirano, Member & CEO of KKR Japan, said, "We are honored to be partnered with such a world-class franchise and will support Ascensia Diabetes Care’s efforts to deliver high-quality diabetes care products to customers worldwide."
Ascensia Diabetes Care is a global diabetes care company dedicated to helping improve the lives of people with diabetes and empowering them to take charge of their health. It will be home to a range of products, including the leading CONTOURTM portfolio of blood glucose meters, that combine advanced technology with user-friendly functionality. Ascensia Diabetes Care is based on over 70 years of delivering innovative products and solutions for people with diabetes, most recently as Bayer Diabetes Care. It also has a strong pipeline and will continue to invest in research and development of new products that will help to improve patient care.
About Panasonic Healthcare Holdings Co., Ltd.
Panasonic Healthcare Holdings Co., Ltd. (shareholder structure: KKR 80%; Panasonic Corporation 20%) is involved in developing, manufacturing, selling and servicing medical equipment through its subsidiary Panasonic Healthcare Co., Ltd. It seeks to strengthen its core businesses, In Vitro Diagnostics including self-monitoring of blood glucose systems, its Medicom businesses involved in medical IT businesses and its life sciences based Biomedical business and to continue to pursue an important role in the provision of optimal healthcare for all. For further information on Panasonic Healthcare please visit http://www.panasonic-healthcare.com/global/phchd/.
KKR is a leading global investment firm that manages investments across multiple asset classes including private equity, energy, infrastructure, real estate, credit and hedge funds. KKR aims to generate attractive investment returns by following a patient and disciplined investment approach, employing world-class people, and driving growth and value creation at the asset level. KKR invests its own capital alongside its partners' capital and brings opportunities to others through its capital markets business. References to KKR's investments may include the activities of its sponsored funds. For additional information about KKR & Co. L.P. (NYSE: KKR), please visit KKR's website at www.kkr.com and on Twitter @KKR_Co.
About Ascensia Diabetes Care
Ascensia Diabetes Care is a global specialist diabetes care company, dedicated to helping improve the lives of people with diabetes by empowering them to take charge of their health. We use our innovation and specialist expertise in diabetes to develop high quality solutions and precision tools that make a simple, positive, daily difference for people with diabetes.
Home to the world renowned CONTOURTM portfolio, our products combine advanced technology with user-friendly functionality that helps people with diabetes to optimally manage their condition. We are committed to continuing to research, innovate and develop new products that improve the lives of people with diabetes. As a leader in diabetes care and a trusted partner, we collaborate closely with healthcare professionals and other partners to ensure our products meet the highest standards of accuracy and compliance.
Ascensia Diabetes Care was established in 2016 through the sale of Bayer Diabetes Care to Panasonic Healthcare Holdings Co., Ltd. Following the close of the transaction in all countries, Ascensia Diabetes Care will have 1,400 employees and operations in 38 countries. For further information please visit the Ascensia Diabetes Care website at: http://www.ascensia.com.
* CONTOURTM is a registered trademark of Ascensia Diabetes Care Holdings AG.