Carestream Health

Carestream Health is the producer of medical solutions founded in 2007 as a result of acquisition by investment corporation Onex of division of Health Imaging entering into the Kodak group for $2.35 billion Carestream Health makes a x-ray film, the radiographic systems, the systems of archiving and transfer of medical images, solutions for visualization in the field of mammography, etc. The company possesses more than 800 patents in the field of medical and dental visualization and also information technologies.

Performance Indicators

2015

In 2015 Carestream Health received $2.1 billion revenue that is 9% less, than the previous year. Profit before tax, percent, wear and depreciation (EBITDA) was $360 million.

History

2019: Philips purchased division of IT medicine from Carestream Health

At the beginning of March, 2019 Carestream Health signed the agreement with Philips Healthcare on sale of the division which is engaged in information systems of health care. The cost of the transaction does not reveal.

The IT department of Carestream provides solutions for visualization to multi-profile hospitals and specialized medical clinics worldwide.

The head of medical IT solutions Carestream Ludovic D'Aprea said that the division sold to Philips company will have "huge opportunities for prosperity and growth".

At the beginning of March, 2019 Carestream Health signed the agreement with Philips on sale of the division which is engaged in information systems of health care

As a result of this transaction the Philips branch specializing in IT health sector will receive in the order the corporate platform of visualization Carestream, diagnostic aids, a possibility of drawing up multimedia reports, management tools document flow and also tools clinical, operational and business analysts. In turn, the IT department which joined Philips will have more opportunities for prosperity and growth. Clients will get access to wider portfolio of IT solutions for health care which will simplify medical visualization, will provide effective cooperation and will improve care of patients.

In division of IT medicine of Carestream 1250 people work, and the representative of the company said that the majority of these jobs will remain. Besides, Carestream will reserve the structures which are engaged in medical visualization and defectoscopy on the basis of non-destructive testing which will not be affected by sale.

The companies will be able to close the transaction when the governments get all necessary permissions, will consider offers of production councils and labor unions and will satisfy all precedent conditions. It is expected that it will occur in the second half of 2019, and until then the companies will continue to work independently. Additional conditions of the agreement are not disclosed.^[1]

2018

David Vestgate is the new CEO of Carestream Health

In July, 2018 Carestream Health  appointed David Vestgate the new president, the CEO and the chairman of the board of directors of the company. Read more here.

Obtaining 79 patents

On January 23, 2018 the Carestream Health company reported that in 2017 it took out in total 79 new patents for the newest developments of information technologies in the field of health care.

The company took out 36 patents from Management by patents and trademarks of the USA and 43 additional patents from the relevant managements of the European and Asian countries. Patents cover a broad spectrum of the new technologies which are used in a radiology, a conical and beam computer tomography, information systems of health care and other areas.

Carestream Health took out 79 patents in 2017

Carestream participates in development of advanced technologies of image processing and information systems for health care worldwide — the head of patent council of Carestream Susan Parulski says. — We provide new goods and services which can increase image quality and improve performance, as well as offer new opportunities for service quality improvement.

New patents of the company include:

• the new medical technologies of capture of images connected with development of systems of the conical and beam computer tomography (CT), the orthopedic prostheses of extremities intended for creation;

• improvements in a portfolio of IT systems of Carestream which are engaged in management, storage and data transmission of patients and results of medical visualization methods of a research;

• promotion of new technologies of the radiological Carestream systems which should improve quality of the images which are used for diagnostics by a wide range of suppliers of medical services;

• updates of the laser Carestream devices providing an available output of digital x-rays to a medical film and paper.

In 2017 the new digital systems of visualization for the general radiology and its specialized areas, such as orthopedics and pediatrics, digital laser devices for an output of images to a film and paper and IT solutions and cloud services for hospitals, clinics and the practicing doctors entered a product portfolio of the company.^[2]

2017: Sale of dental business

In April, 2017 Carestream Health announced sale of division of Carestream Dental specializing in development and sale of the dental equipment which is used at prosthetics, implantation and different orthodontic works.

This business is bought by the funds managed by two private investment companies Clayton, Dubilier & Rice and CareCapital Advisors. The cost of the transaction which is going to be closed in the third quarter 2017 is not revealed.

Carestream Health sells the division of Carestream Dental specializing in development and sale of the dental equipment

The agreement assumes that Carestream Dental will become the independent company and will still work at the market under this name. The president of Carestream Dental Lisa Ashby will become the CEO of the new company after accomplishment of all formalities of sale of division of Carestream Health.

Lisa Eshbi called sale of dental business of Carestream Health "the sign moment for Carestream Dental which will direct the company to fascinating growth in the future".

Carestream Dental produces the highly specialized equipment for restorations, recovery, carrying out any other orthodontic activity, radiological researches and also the software and supplies. The company offers five types of products:

• Equipment for recovery of teeth;
• Tools for orthodontic works;
• Devices for 3D - scanning and reproduction of structures of a skull, bones of a mouth and jaws;
• Supplies, including special films based on Kodak Dental Films, tools of outside application, screens, cartridges, chemical reagents, accessories and the accompanying goods;
• Radiological equipment.

Clayton, Dubilier & Rice and CareCapital Advisors will pass all these assets, except a film for the roentgenogram of teeth and anesthetics.^[3]

2016

Registration of 100 patents

On January 17, 2017 Carestream Health announced receiving about 100 patents in the different countries of the world according to the results of previous year. The most part of technologies which the company registered as the intellectual property concerns medical visualization.

In 2016 the U.S. Patent and Trademark Office (U.S. Patent and Trademark Office, USPTO) granted Carestream Health 43 patents describing technologies in the field of radiography, a computer tomography, IT medicine, medical visualization in stomatology, etc.

Office Carestream Health in Italy

52 more patents are registered in the European and Asian countries. These documents are devoted to technologies of formation of clinical images which, in particular, are applied to a computer tomography in orthopedic treatment. Also in an exploration portfolio of the company there were medical IT systems for management, storage and data exchange of patients and also for carrying out researches in the field of medical visualization.

Besides, Carestream Health announced existence of the patents devoted to technology achievements in the field of the radiological systems and laser devices for visualization. At last, in a portfolio of patents there are those which will help creation of new features with dental visualization, the software for image processing and the systems of restoration of teeth.

These patents show further development of success of Carestream in development of technologies for advanced medical visualization and health care in general which organizations use worldwide — the legal adviser on patent cases of Carestream Health Susan Parulski says. — We aim at creation of the new products and services capable to improve quality of images, to increase productivity of work and to offer new opportunities for quality improvement of medical care.[4]

Information on exposure of the company for sale in parts

In the middle of May, 2016 the Reuters agency with reference to the informed sources announced that Carestream Health is offered for sale of Onex by the owner who expects to earn from the transaction more than 3 billion dollars taking into account debts of controlled company. It is going to be sold in parts.

According to the edition, Carestream Health asked Goldman Sachs Group bank for the help in search of the buyer of all company and business on release of solutions for digital medical visualization. Specialists of Jefferies for assistance in sale of the division which is responsible for development of the dental systems of visualization are also employed.

Carestream Health want to sell for $3 billion

For the first time rumors about sale of Carestream Health appeared in 2013. Then owners of the company decided not to hurry with the conclusion of the transaction as they received insufficiently high offers from private investment firms. Low marks from potential buyers were connected with transition problems from x-ray films on digital technologies, Reuters reports.^[5]

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