Moog Inc. (A:US) said it will work with RBC Capital Markets LLC to evaluate options for its medical devices division including a possible sale. The shares advanced.
Moog also completed the sale of its Ethox Medical business to Dempsey Ventures for an undisclosed sum, according to a statement today. The divestiture will result in an after-tax non-cash loss of about $5 million, or 11 cents a share, in the quarter ended June 29, East Aurora, New York-based Moog said.
Revenue at Moog’s medical device segment last year fell 1.7 percent to $140 million, the equivalent of 5.7 percent of the company’s $2.5 billion in total sales. Moog’s biggest unit, which manufactures aircraft controls, had $963.4 million in sales last year.
The shares (2FA:US) rose 2.7 percent to $52.91 at 10:21 a.m. in New York, after reaching $53.30, the highest intraday price since at least 1988.
Dempsey Ventures, based in Grand Rapids, Michigan, is a private-equity firm focused on health-care products.
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