Langer, Inc. has completed the sale of Bi-Op Laboratories for $2,125,000 in cash. Buyers include a group of investors and Raynald Henry, the current Bi-Op GM.
The Bi-Op sale is part of Langer’s stated strategy of simplifying the company’s business and reducing corporate and compliance expenses. As part of this effort, Langer divested its UK subsidiary to Sole Solutions for $1.2 million in cash and notes.
2007 was a challenging year for Langer; the company seems to have lost focus in an attempt to grow aggressively. While Langer’s Silipos subsidiary performed well, its newly acquired Twincraft and Regal businesses did not. Blame the economic downturn, perhaps. The cost of maintaining these businesses on a corporate level remains high relative to profits.
Langer, which provides long-term care, orthopedic, orthotic and prosthetic products, acquired Bi-Op in 2003 to gain access to additional markets and complementary product lines (Bi-Op offers footwear and foot orthotic devices as well as orthotic and prosthetic services). Including transaction costs, the purchase price was approximately $2.2 million, paid in cash and stock.
Langer’s Twincraft and Silipos subsidiaries offer a diverse line of bar soap and skincare products.
