Eastman Kodak selling off Health Unit to Onex

Eastman Kodak selling off Health Unit to Onex

Eastman Kodak has said that they are selling off their health-care imaging unit to Onex Corp. This deal could fetch them as much as $2.55 billion.

They would use these funds to pay down debt as they are struggling in their primary digital business.

Onex would be paying $2.35 billion in cash and up to $200 million more if certain milestones are met. This was confirmed by Kodak in a statement.

These funds would help Kodak to shift the focus back on their main units. The company has been struggling and posting losses in eight straight quarters.

Kodak had entered the healthcare business 1896 after the invention of the X-ray. Their healthcare division makes X-ray film and paper, digital X-ray machines and mammography equipment. It accounts for nearly 20% of their total sales.