CD&R Is Said to Be in Talks to Buy Carestream Health Dental Unit

  • Buyout firm set to pay about $1 billion for Onex-owned unit
  • U.S. company provides imaging software to dental professionals

Clayton Dubilier & Rice is in talks to buy Carestream Health Inc.’s digital dental-equipment unit, people with knowledge of the matter said.

The New York-based buyout firm may pay about $1 billion to acquire Carestream Dental from Onex Corp., said the people, who asked not to be identified because they weren’t authorized to speak publicly. No final decision has been reached and Onex may opt to sell to another party, the people said.

Onex, which bought Atlanta-based Carestream from Eastman Kodak Co. for about $2.4 billion in 2007, is working with investment bank Jefferies Group LLC to sell the unit. The Canadian buyout firm has separately hired Goldman Sachs Group Inc. to seek buyers for Carestream’s medical imaging business, the people said. That process is ongoing.

Spokesmen for CD&R and Jefferies declined to comment. Spokesmen for Carestream, Goldman Sachs and Onex didn’t immediately respond to requests for comment.

Carestream Dental, which can trace its roots back to 1896, provides imaging, software and practice management solutions for dental professionals, according to its website.