Danish hearing-aid maker Demant A/S said it has agreed to sell its Oticon Medical business to investment firm Impilo, concluding a multi-year effort to exit the hearing implants market that was complicated by regulatory hurdles.
The deal has a total value of up to 600 million Danish Kroner, with 325 million Danish Kroner to be paid in cash at closing and the remainder contingent on future milestones, the company said.
The sale completes a process that began in 2022 with an attempt to sell the entire hearing implants division to rival Cochlear Ltd.
That deal was blocked by U.K. competition authorities, leading Demant to divest its cochlear implants business to Cochlear in 2024 and seek a separate buyer for its remaining bone-anchored hearing systems unit, which is now being sold to Impilo.
“I’m confident that Oticon Medical will continue to prosper under its new ownership,” Demant President & CEO Søren Nielsen said in a statement.
Demant will provide transitional services to Impilo, including product development and supply, for a defined period.
As a result of the agreement, Demant now expects a loss from discontinued operations of around 200 million Danish Kroner in 2025, revising a previous forecast for a profit of up to 50 million Danish Kroner.
The transaction is subject to regulatory approvals and is expected to close by the end of the first quarter of 2026.
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