Carestream Health to Distribute $725 Million
TORONTO, ONTARIO -- (Marketwired) -- 06/10/13 --
All amounts in U.S. dollars unless otherwise stated
Onex Corporation ("Onex") (TSX:OCX) and its affiliates (the "Onex
Group") announced today that Carestream Health, Inc. ("Carestream")
raised approximately $2.4 billion of debt to fund a $725 million
distribution to shareholders, refinance existing debt facilities and
pay fees and expenses associated with this recapitalization.
The Onex Group will receive a distribution of approximately $673
million, of which Onex' share will be approximately $295 million,
including carried interest of $48 million. Combined with prior
distributions, the Onex group will have received approximately $1.2
billion, representing a 2.6x gross multiple of invested capital and a
22% cash-on-cash rate of return, and will continue to own
approximately 91% of Carestream.
The Onex Group acquired Carestream in 2007 in a corporate carve-out
from its parent, the Eastman Kodak Company. Over the past six years,
Onex has worked closely with management on various initiatives that
have resulted in a stronger and faster-growing digital platform and
increased cash flow generation from its film operations. In 2013,
Carestream is expected to generate $457 million of EBITDA and
approximately $190 million in free cash flow pro forma for the
recapitalized balance sheet.
"This is an excellent outcome for Onex and Carestream," said Robert
Le Blanc, a Senior Managing Director at Onex. "Carestream is truly an
outstanding company led by a terrific CEO, Kevin Hobert, and deep and
talented management team. We look forward to our continued
partnership to further build on Carestream's success."
With offices in Toronto, New York and London, Onex is one of the
oldest and most successful private equity firms. Onex acquires and
builds high-quality businesses in partnership with talented
management teams. The Company has approximately $16 billion of assets
under management, including $5 billion of proprietary capital, in
private equity, credit securities and real estate. Onex invests its
proprietary capital directly and as a substantial limited partner in
Onex' businesses have assets of $44 billion, generate annual revenues
of $37 billion and employ approximately 243,000 people worldwide.
Onex shares trade on the Toronto Stock Exchange under the stock
symbol OCX. For more information on Onex, visit its website at
www.onex.com. The Company's security filings can also be accessed at
This news release may contain forward-looking statements that are
based on management's current expectations and are subject to known
and unknown uncertainties and risks, which could cause actual results
to differ materially from those contemplated or implied by such
forward-looking statements. Onex is under no obligation to update any
forward-looking statements contained herein should material facts
change due to new information, future events or otherwise.
Vice President, Investor Relations
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