SHL will also benefit from the sales of its proprietary telemedicine devices to Philips as well as from revenues emanating from Philips'
access to SHL's future R&D.
SHL expects to record a capital gain, net of taxes of approximately USD 35-40 million from the sale of these operations and therefore expects a significant net profit for the year. Looking ahead, SHL's operations are to generate significant margins, profits and cash.
Following the transaction SHL's cash position is extremely solid and will enable it to support its future strategic programs. SHL will provide a more detailed outlook and financial guidance early 2008.
Erez Alroy, Co-CEO of SHL, commented: "We are delighted that we were able to close the agreement with Philips so quickly. The transaction provides SHL with significant cash resources to increase the pace of its expansion in the German market as well as
development of new markets and products."
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