Is Vision Care front and center for sale?

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Anonymous

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Vision Care seems to be the focus now for sale. The CEO and chairman seem to emphasize this part of the business as far as performance and potential new products and down play the other two Divisions.

Would make sense as Pharma and Surgical could function completely on their own without Vision Care and Vision Care could give them some much needed cash soon.

Look for Vision Care to be sold off in the next 6 months.
 






Anonymous said:
Vision Care seems to be the focus now for sale. The CEO and chairman seem to emphasize this part of the business as far as performance and potential new products and down play the other two Divisions.

Would make sense as Pharma and Surgical could function completely on their own without Vision Care and Vision Care could give them some much needed cash soon.

Look for Vision Care to be sold off in the next 6 months.
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Vision Care would be the last thing sold off a la carte. It is the most positive facet B&L. The other two are like a minestrone of products and bodies flung together and subtract from the overall picture. WP is much more likely to hang onto VC to anchor a sale of the other two. Can you imagine the management infrastructure in place just for the other two with VC gone?
 






Unfortunately because Vision Care is the only thing worth selling is the reason why they are shopping it around. They can not sell the whole thing as Surgical and Pharma need major fix ups.

1. Pharma just had two recalls and D&R is a complete failure. Even with the poor performance little has been done to fix the fundamentals of this division (like new management) and any buyer knows it.

2. Perhaps they are starting to fix Surgical with a new VP of research but little has been done to show a potential buyer that it is worth anything.

So they are trying to showcase Vision Care. Last chance to make money off this deal. They want to sell Vision Care and then it will give them the time (2 years) to fix up and sell the other two divisions. They are projecting that there are exciting new products coming out in Vision Care even though everyone knows this is not likely true. It is a great sales pitch for a potential buyer.

Selling Vision Care at this point is actually a pretty good idea. Vision Care today has quite some value to a consumer based company that may already be in the business as they can then instantly gain market share. Waiting to sell it is a bad idea. WP is not going to spend any more money on D&R in Vision Care and waiting will only see the market shrink as the competition comes on with new products.

Last chance strategy for this puppy. I hope they can succeed on this as B+L Vision Care combined with another brand would be a tough competitor in the marketplace.
 












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