ZimVie Inc., a business known for its advancements in dental implants and spinal solutions, declared on Monday that its previously announced sale of the Spine division to an affiliate of H.I.G. Capital has been finalized. The deal was made for $375 million, consisting of $315 million in cash proceeds and a $60 million promissory note.
The corporation intends to immediately allocate $275 million towards settling their outstanding debt, therefore reducing the total debt to approximately $234 million. It's also estimated that ZimVie will have about $66 million in cash by April 2.
The company remains positive about its annual sales projection, expecting to achieve more than $455 million in sales along with an adjusted EBITDA margin exceeding 15% within a year following the conclusion of this transaction.
In pre-market trade on the Nasdaq, ZimVie's shares were trading higher by 5.22%, reaching a price of $17.35.
