Onex Corp. Acquires Health Group Of Eastman Kodak

Onex Corp. (TSX: OCX) has agreed to acquire the Health Group of Eastman Kodak Company in a transaction initially valued at approximately US$2.35 billion. Kodak Health Group is a provider of medical imaging and healthcare information technology solutions. The equity investment of approximately US$475 million to complete the acquisition will be made by Onex Partners, Onex’ large cap private equity fund. The investment by Onex Corp., as a limited partner in that fund, is expected to be approximately US$188 million. The acquisition agreement provides that if Onex Partners realizes an internal rate of return in excess of 25% on its investment, Kodak will receive payment equal to 25% of the excess return up to $200 million. Onex was advised in the transaction by Credit Suisse and Kaye Scholer LLP.