Sunrise Medical Inc, Malsch, Germany, with North American headquarters in Longmont, Colo, reports that it has successfully refinanced its existing senior secured credit facilities with the issuance of a new long-term senior secured term loan. In connection with the refinancing, the company simultaneously announced the official separation of DeVilbiss Healthcare, Sunrise’s respiratory and sleep therapy division, into an independent company, effective April 2.
The refinancing caps a strong year at Sunrise where the company has reestablished its growth profile under the leadership of Thomas Rossnagel, who was appointed president and CEO in May 2009, the company reports. Additionally, Sunrise has recently launched four new products including the Q7 custom wheelchair line.
“This financing is an important and exciting step for Sunrise as we continue to execute our strategic growth plans,” Rossnagel said. “The refinancing of our senior secured facilities leaves us in a much stronger financial position to fund growth. It also allows Sunrise to pursue acquisitions in both Europe and North America. Our premium products and services strategy will help in driving further growth in our business and delivering the highest quality products to our customers around the world.”
In conjunction with the refinancing, DeVilbiss Healthcare, Somerset, Pa, will operate as a separate, independent company, focused on its high margin, high growth businesses, says Sunrise. While DeVilbiss has been operating as a separate division since 2007, the refinancing will allow the company to officially stand alone as its own entity with no debt and separate long-term financing.
Existing investors, including Vestar Capital Partners and Park Avenue Equity Partners, maintain controlling investment interests in both organizations, and will serve on the boards of directors of both companies. Management will also have an ownership stake in the companies.
Sunrise develops, designs, manufactures, and distributes manual wheelchairs, power wheelchairs, motorized scooters, and standard and customized seating and positioning systems. The company manufactures products in its own facilities in the United States, Mexico, Germany, UK, Spain, and China. Its key products, marketed under the Quickie, Sopur, Zippie, Breezy, Sterling, and Jay proprietary brands, are sold through a network of home care medical product dealers or distributors in more than 130 countries.
DeVilbiss Healthcare designs and manufactures respiratory medical products that address the respiratory needs of patients in institutional and home care settings. Primary product lines include oxygen therapy equipment, pulmonary drug delivery, and sleep apnea therapy. DeVilbiss products are manufactured in the United States, Europe, and Asia and are distributed in more than 100 countries around the world.
[Source: Sunrise Medical Inc]