Another multinational pharmaceutical company joins the spin-off tide!

【Pharmaceutical Network Enterprise News】Recently, Medtronic announced that it plans to spin off the combined patient monitoring and respiratory intervention business
.
Geoff Martha, Chairman and CEO of Medtronic, said, "This separation will allow Medtronic and capital to focus on opportunities that are more aligned with our long-term strategy to accelerate innovation-driven growth and will enable NewCo to unlock value
.
Upon independence, NewCo will become a professional connected care company with a compelling position, attractive margins, and the potential to
accelerate growth through increased investment and dedicated capital allocation.
In fact, spin-offs are becoming an increasingly common "routine operation"
for pharmaceutical companies.
Since the beginning of this year, many multinational pharmaceutical companies have joined the "spin-off wave"
.
For example, at the end of August, Novartis announced that it plans to divest 100% of its generic and biosimilar division Sandoz (Sandoz) into a newly listed independent operating company, which is expected to complete the spin-off process
in the second half of 2023.
In July, multinational company 3M announced plans to spin off its healthcare business into a separate company, a deal expected to close by the end of 2023, with 3M holding a 19.
9% stake
in the newly created healthcare company.
In the same month, Helion (NYSE:HLN) announced that it had completed the spin-off process of GSK and officially became an independent consumer health company
.
The company's shares have been traded
on the London Stock Exchange (LSE) on July 18, London time.
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On the whole, in the pharmaceutical industry, the spin-off of pharmaceutical companies has become the
norm.
Recently, in addition to multinational pharmaceutical companies, there are many domestic listed companies that seek to expand financing channels, seek higher valuations or improve operational efficiency and carry out
spin-offs.
On September 9, according to the disclosure of the Hong Kong Stock Exchange, Lepu Xintai Medical Technology (Shanghai) Co.
, Ltd.
(hereinafter referred to as "Xintai Medical") submitted a prospectus on the Hong Kong Stock Exchange and intends to be listed on
the main board of Hong Kong.
It is understood that Xintai Medical is another spin-off and listed subsidiary
of Lepu Medical after Lepu Biotechnology.
It is a large-scale manufacturer
of congenital heart disease closure device products and related surgical supporting products in China.
On August 15, Kelun Pharmaceutical announced that the company intends to spin off its holding subsidiary, Yili Chuanning Biotechnology Co.
, Ltd.
(hereinafter referred to as "Chuanning Biotechnology") to be listed on
the Growth Enterprise Market of the Shenzhen Stock Exchange.
The result of the review by the Shenzhen Stock Exchange is that Tranning Biotech (IPO) meets the issuance conditions, listing conditions and information disclosure requirements
.
This also means that the IPO of Tranning Bio Growth Enterprise Market has been successfully passed
.
In general, the spin-off heat of the domestic and foreign pharmaceutical industry is rising
.
The industry believes that behind the increasing number of pharmaceutical companies joining the "spin-off tide", there are demands for the capital market, the focus and sorting out of "new and old" businesses, and the selection and betting
on the future development direction.
In the future, with the continuous development of the pharmaceutical market, the spin-off of pharmaceutical companies will continue, and the merger and separation will be the norm for the development of
the pharmaceutical market.
Disclaimer: Under no circumstances does the information or opinions expressed in this article constitute investment advice
to anyone.