Siemens Healthineers in Talks for $7 Billion Diagnostics Unit Sale

Siemens Healthineers is reportedly in early talks with private-equity firms Blackstone, CVC Capital Partners, and KKR to sell its diagnostics unit, potentially valued at over 6 billion euros ($7.03 billion). Representatives for the companies declined to comment.

Siemens Healthineers AG, a German healthcare technology company, is reportedly in early discussions with private equity firms Blackstone Inc., CVC Capital Partners Plc, and KKR & Co. about a potential sale of its diagnostics segment. The talks, which are part of the company's efforts to streamline operations, have sparked interest among investors.

The diagnostics unit, which tests samples of blood and tissue to identify diseases and infections, could be valued at more than €6 billion ($7 billion), according to sources familiar with the matter. The imaging division and the Varian unit, which focuses on cancer-care technologies, are not part of the sale discussions [^1, 2, 3, 4].

Shares of Siemens Healthineers saw a significant uptick on Wednesday, climbing as much as 3.6 percent and approaching their 200-day moving average. The rally was fueled by the Bloomberg News report suggesting preliminary talks regarding the diagnostics division sale Siemens Healthineers Shares Surge on Diagnostics ...^[3].

The company has been reviewing its diagnostics business for over two years, and the current discussions are in the early stages. There is no certainty that these preliminary deliberations will lead to a transaction, and Siemens Healthineers could decide to keep the business Siemens Healthineers Said in Early Talks on Diagnostics Sale^[4].

Siemens Healthineers will hold its capital markets day on November 17, where it usually outlines its business strategy and targets. The company's largest shareholder is German engineering group Siemens AG, which holds a stake of approximately 71 percent Siemens Healthineers Said in Early Talks on Diagnostics Sale^[4].

Representatives for Siemens Healthineers, Blackstone, CVC, KKR, and Montagu have declined to comment on the matter.