Business & Money | Saturday 4 February, 2017 7:17 am |

Acelity L.P. Inc. announced today that it has completed the sale of its regenerative medicine business unit, LifeCell Corporation, to Allergan for $2.9 billion in cash.

“This milestone marks an important step in our continued evolution of Acelity,” said Joe Woody, Acelity President and Chief Executive Officer. “The completion of this sale to Allergan positions us for ongoing success by allowing additional focus in our areas of long-standing expertise. We look forward to fully dedicating our resources to strengthening our leading advanced wound therapies business and increasing our global growth opportunities in that space.”

Under the terms of the transaction, Allergan will acquire LifeCell Corporation, the subsidiary from which the Acelity regenerative medicine unit is operated, and each of LifeCell’s subsidiaries. LifeCell’s industry-leading regenerative medicine and reconstructive surgery portfolio will be combined with Allergan’s leading portfolio of medical aesthetics, breast implants and tissue expanders, enhancing the potential for continued long-term growth of the LifeCell portfolio.

Buddy Gumina, Chairman of the Acelity Board of Directors, added: “We are incredibly excited to continue to support Acelity as it further expands its advanced wound therapy solutions, both through the introduction of innovative products and through targeted acquisitions.”

Acelity will use the majority of the proceeds from the sale, together with proceeds from new senior secured credit facilities and cash on hand, to repay all of the outstanding borrowings under the existing senior secured credit facilities and redeem all of the outstanding aggregate principal amounts of the 9.625% Second Lien Senior Secured Notes due 2021 and 12.5% Senior Notes due 2019, each issued by Acelity’s wholly-owned subsidiaries, Kinetic Concepts, Inc. and KCI USA, Inc., and pay applicable premiums and related fees and expenses.