MALSCH, GERMANY and NEW YORK, NY, USA – November 6, 2012 – Sunrise
Medical Inc. (“Sunrise Medical”) today announced that it has entered into a
definitive agreement to sell its global mobility and seating operations to funds
managed by Equistone Partners Europe (“Equistone”), one of Europe’s leading
investors in mid-market buyouts. Terms of the purchase of Sunrise Medical from
affiliates of U.S.-based private equity firm Vestar Capital Partners ("Vestar") were
not disclosed. The transaction is expected to close by year-end 2012.
Completion is subject to approval by the relevant anti-trust authorities.
Sunrise Medical is the leading global manufacturer, marketer and distributor of
high-end custom manual and power wheelchairs and technologically advanced
and proprietary seating systems.
Dirk Schekerka, a Managing Director of Equistone in Germany, comments, “We
are looking at an exciting market with high potential for further development.
Together with the company’s excellent management team we look forward to
supporting Sunrise Medical’s next stage of growth."
“Our partnership with Vestar has helped the company focus its innovation and
operating strengths on the mobility business globally,” said Thomas Rossnagel,
CEO of Sunrise Medical. “The corporation holds a very strong market position
and the past three years’ financial performance has been outstanding. My team
and I are excited about the opportunity to take Sunrise Medical to the next level
of performance and significantly expand our global business with support of the
new resources from Equistone.”
“We have had an extraordinarily productive collaboration with Sunrise Medical,”
said Dan O’Connell, CEO of Vestar Capital Partners. “We have created value
through two successful spin-offs, which allowed Sunrise Medical to streamline
and focus its operations and strategy. Thomas Rossnagel has been an
exceptional leader and we believe he and his team will continue on their
promising path. We at Vestar thank Thomas and his accomplished team at
Sunrise for their dedication and excellent performance over the years we have
been their investment partner.” In December 2000, Vestar, in partnership with Park Avenue Equity Partners,
acquired Sunrise Medical in a going-private transaction. During Vestar’s
ownership, Sunrise Medical spun out to shareholders its Joerns Healthcare
(“Joerns”), DeVilbiss Healthcare (“DeVilbiss”) and DynaVox Systems
(“DynaVox”) divisions. Joerns and DynaVox were successfully realized in 2010
while Vestar continues as the majority shareholder of DeVilbiss.
Sunrise Medical and Vestar received financial advice from Rothschild. Simpson
Thacher & Bartlett LLP provided legal counsel and Deloitte Tax LLP provided tax
advice.
Equistone received financial advice from Hauck & Aufhäuser. P+P Pöllath +
Partners and Thompson Hine LLP provided legal advice. Ashurst advised on
credit documentation and KPMG provided tax advice.
The transaction was led by Dirk Schekerka, Marc Arens and Alexis Milkovic for
Equistone.
About Sunrise Medical
Sunrise Medical is a world leader in the development, design, manufacture and
distribution of manual wheelchairs, power wheelchairs, motorized scooters and
both standard and customized seating and positioning systems. Sunrise Medical
manufactures products in facilities in the United States, Mexico, Germany, United
Kingdom, Spain, and China, marketed under the QUICKIE, SOPUR, ZIPPIE,
BREEZY, STERLING and JAY proprietary brands. Products are sold through a
network of homecare medical product providers or distributors in more than 130
countries. The company is headquartered in Malsch, Germany with North
American headquarters in Fresno, CA and employs 1,600 associates worldwide.
For more information, please visit www.sunrisemedical.com/
About Equistone Partners Europe
Equistone Partners Europe Limited is an independent investment firm owned and
managed by the former executives of Barclays Private Equity. Equistone
acquired the management company of Barclays Private Equity from Barclays
Capital, the investment banking division of Barclays Bank PLC, in November
2011. The Company is one of Europe’s leading investors in mid-market buyouts
with a successful track record spanning over 30 years, with more than 350
transactions completed in this period. Equistone has a strong focus on change of
ownership deals and aims to invest between €25m and €125m of equity in
businesses with enterprise values of between €50m and €300m. The Company
has a team of 33 investment professionals operating across France, Germany,
Switzerland and the U.K., investing as a strategic partner alongside management
teams. For further information, please visit www.equistonepe.com
About Vestar Capital Partners
Vestar Capital Partners is a leading private equity firm specializing in
management buyouts and growth capital investments. Vestar’s active funds
aggregate approximately $8 billion in commitments. The firm targets companies
in North America with valuations of $150 million to $1.5 billion in four key industry
sectors: Consumer, Diversified Industries, Healthcare, and Financial Services.
Vestar invests and collaborates with incumbent management teams, family
owners or corporations in a creative, flexible and entrepreneurial way to build
long-term enterprise value. Since the firm’s founding in 1988, the Vestar funds
have completed 69 investments in companies with a total value of more than $30
billion. For more information, please visit www.vestarcapital.com
Media Contacts:
For Equistone Partners Europe:
College Hill (UK media enquiries)
+44 (0) 20 7457 2020
Rachel Thomas
+44 (0)7787 504 447
rachel.thomas@collegehill.com
Zinka Bozovic
+44 (0)7769 255 380
zinka.bozovic@collegehill.com
Ira Wuelfing Kommunikation (German media enquiries)
Margret Riedlsperger
+49 (0) 89 2000 30-39
margret.riedlsperger@wuelfing-kommunikation.de
For Sunrise Medical:
Julia Mattern
+49 (0) 7253 980 204
j.mattern@sunrisemedical.de
For Vestar Capital Partners:
Owen Blicksilver Public Relations
Carol Makovich,
+1 (203) 622-4781
carol@blicksilverpr.com
Jennifer Hurson
+1 (845) 507-0571
jennifer@blicksilverpr.com