"Since 2007, we have been executing a strategy to transform Teleflex from a cyclical, diversified-industrial conglomerate into a pure-play medical technology company," president & CEO Benson Smith said in prepared remarks.
Shares of Teleflex were up 2 percent on the news to $60.86 at market opening versus a close of $59.72 on Friday.
Teleflex announced the definitive agreement with AAR in October. The cargo systems and container businesses are reflected as discontinued operations in the Limerick, Pa.-based company’s financial statements.
"The proceeds from the divestiture of these businesses, along with our ability to continue to generate cash from operations, will enable us to further reduce our outstanding debt, as well as provide Teleflex with substantial resources to expand our market presence through prudent, strategic acquisitions," Smith said.
Smith took over the corner office in January after the abrupt departure of Jeffrey Black, who resigned by mutual agreement with the company’s board.
Teleflex recently signed a deal to sell its intra-aortic balloon catheters through hospital group purchasing organization Premier.