Medtronic Completes MiniMed Split-Off, Diabetes Unit Begins Trading as MMED
MDT sits 29% above its 52-week low of $73.31 on light trading volume (0.1× avg).
Summary
Medtronic closed the separation of its diabetes business, MiniMed Group, now trading independently on Nasdaq as MMED. Medtronic exchanged all 252,813,348 remaining MiniMed shares it held, completing the split-off announced in September. The exchange offer was heavily oversubscribed at 5.4x, with an 18.29% proration factor confirmed in yesterday's final results. Medtronic sheds a lower-margin diabetes franchise and says it will concentrate on Cardiovascular, Neuroscience and Surgical. MiniMed now has to stand on its own as a pure-play diabetes company; its first earnings report as an independent entity will be the first real read on standalone performance.
At the time of this announcement, MDT was trading at $94.90 on NYSE in the Life Sciences sector, with a market capitalization of approximately $121.4B. The 52-week trading range was $73.31 to $106.33. This news item was assessed with neutral market sentiment and an importance score of 7 out of 10. Source: PR Newswire.