Wheelchair maker Drive Medical explores sale, say sources: Reuters

Drive Medical, one of the largest manufacturers of wheelchairs, is exploring a potential sale that could value the company at more than $1 billion, including debt, according to people familiar with the matter.

The U.S. company, which also manufactures a suite of other medical equipment, has hired investment bank Robert W. Baird & Co to carry out a sale process, the people said this week.

The process may result in the sale of a majority or minority stake in the company, with the management team retaining a portion of the equity, the people added.

Drive Medical is partly owned by private equity firm Ferrer, Freeman & Company. It has 12-month earnings before interest, taxes, depreciation and amortization of around $95 million, one of the people said.

The sources asked not to be identified because the sale process is confidential. Drive Medical declined to comment. Ferrer, Freeman & Company and Robert W. Baird did not reply to requests for comment.

Drive Medical’s products largely target seniors receiving home care. The Port Washington, New York-based company has completed more than half a dozen acquisitions since 2011, expanding its presence internationally and building out capabilities in areas ranging from wheel chairs to respiratory devices.

In 2015, Drive Medical acquired DeVilbiss Healthcare, which focuses on products that aid breathing and sleep, for an undisclosed sum.