Medtronic’s diabetes spin-off files for IPO
Medtronic has announced that its diabetes division, which will operate under the name MiniMed, has filed the necessary paperwork with the U.S. Securities and Exchange Commission (SEC) to go public. This includes proposing the SEC for an initial public offering (IPO) of newly issued common stock.
The company first announced its plans to turn its diabetes business into a separate publicly traded company in May.
“This marks a significant milestone in driving both Medtronic and the diabetes business to achieve lasting value for Medtronic, our shareholders, customers and patients,” Geoff Martha, chairman and CEO of Medtronic, said at the time. “Active portfolio management is an important lever to delivering on our ongoing growth and success, and this decision shifts the Medtronic portfolio to have intense focus on our highest margin growth drivers where we have our strongest core competencies.”
Medtronic’s MiniMed division includes a team of more than 8,000 employees. Que Dallara, executive vice president and president of Medtronic’s diabetes business, will become the standalone company’s new CEO.
As Medtronic previously explained, giving its diabetes spin-off the name MiniMed is seen as a way to honor the company’s 40-year history. MiniMed was also the original name of the medtech giant’s diabetes business before it was acquired by Medtronic in 2001.
“As we become a standalone company, we are rebuilding MiniMed with the discipline of a public company and the relentless drive of a startup,” Dallara said in the company’s SEC filing. “We continue to design our products and brand with the same care that people bring to managing their health.”
The company hopes to be traded on Nasdaq under the symbol MMED.
Michael has more than 19 years of experience as a professional writer and editor. He has written at length about cardiology, radiology, artificial intelligence and other key healthcare topics.