Consort Medical gets shareholder approval for sale of King Systems

Consort Medical will sell its King Systems division after receiving approval from shareholders.

The medical devices company said it will dispose of the manufacturer of anaesthesia and respiratory items for a consideration of $120m cash, plus an adjustment of approximately $5.0m for estimated working capital and net indebtedness at completion.

"Further to the announcement of its proposed disposal of King on December 20th, 2012, the company is therefore pleased to confirm that all conditions precedent have been satisfied and it has completed the proposed disposal," the group said.

The initial consideration is subject to a post-completion adjustment for actual working capital and actual net indebtedness at completion.

Proceeds will be used to repay debts of the company.

Shares rose 2.73% to 678.50p at 14:44 Friday.

RD