OREANDA-NEWS. Panasonic Corporation and Kohlberg Kravis Roberts & Co. L.P. announced the signing of a share purchase agreement and a shareholders' agreement under which Panasonic and KKR will become joint partners of Panasonic Healthcare Co., Ltd.

Based on today's agreements, PHC Holdings Co, Ltd. ("PHCHD"), which is wholly - owned by KKR investment funds, will purchase all outstanding shares of Panasonic Healthcare, including its related intellectual property and assets, for an equity value of approximately JPY 165 billion.

The transaction will be followed by a third party share allocation by PHCHD, after which KKR will own 80% of outstanding shares of PHCHD and Panasonic will own 20%.

Panasonic and KKR will cooperate in the management of Panasonic Healthcare. Panasonic Healthcare is a comprehensive healthcare company focusing on three core businesses - In Vitro Diagnostics, Medicom, and Biomedical. Panasonic Healthcare's In Vitro Diagnostics business has a leading global market share in the manufacture and sale of blood glucose monitoring meters and sensors for diabetics. Its Medicom business has the top share in Japan in medical receipt computers, electronic health record systems and other IT equipment for medical clinics, while its Biomedical business has a leading market share in Japan and overseas in biomedical laboratory equipment including CO2 incubators and ultra -low temperature freezers.

Panasonic and KKR will leverage their respective business resources, including their healthcare industry knowledge, technology, and specialist expertise, as well as their global healthcare industry investment experience and network, to together aim for further growth of Panasonic Healthcare.

Subject to approval by the relevant authorities and other customary closing conditions the above agreements are expected to be completed by the end of March 2014.