Medtronic (NYSE: MDT) announced today that it has chosen “MiniMed” as the name for its newly separated Diabetes unit. This decision follows Medtronic’s plan to separate its Diabetes business, which was first revealed last month. The move aims to simplify Medtronic’s portfolio, focusing on high-margin growth markets, while creating an independent, scaled leader in diabetes care. The new company, initially referred to as the “New Diabetes Company,” will continue to innovate in insulin management, building on a comprehensive ecosystem.
The name “MiniMed” ties back to the company’s roots, as Medtronic acquired MiniMed for $3.7 billion nearly 25 years ago. MiniMed has since become synonymous with insulin pump technology, including the latest advances in automated insulin delivery systems.
This decision honors the legacy of MiniMed’s founder, Alfred E. Mann, who revolutionized diabetes care in 1983. Que Dallara, Medtronic’s current EVP and President of Medtronic Diabetes, and CEO-designate of MiniMed, expressed excitement about carrying forward the 40-year legacy of innovation. “Our focus will be on making diabetes care more predictable and enabling people to live their lives fully,” Dallara said.
Medtronic’s decision to separate the Diabetes unit has been anticipated for years. Analysts have speculated since 2021 that the business could be sold or spun off. The separation is expected to be completed within 18 months through a series of capital market transactions, with an IPO and subsequent split-off as the preferred route. The move will be tax-free for U.S. shareholders, Medtronic says.
The new Diabetes company will remain based in Northridge, California, with a workforce of over 8,000 employees. It currently represents 8% of Medtronic’s total revenue and 4% of its segment operating profit for fiscal year 2025. Following the separation, the new entity will continue to develop its portfolio of diabetes management products, including insulin pumps, smart insulin pens, and continuous glucose monitors (CGMs).
The Diabetes unit has recently made strides in its partnership with Abbott, submitting an interoperable insulin pump to the FDA in April. Last year, Medtronic and Abbott announced a global collaboration combining Abbott’s FreeStyle Libre CGMs with Medtronic’s insulin delivery systems, including the MiniMed 780G. Medtronic also received FDA approval for its Simplera Sync CGM platform, designed to integrate with the MiniMed 780G, and obtained a CE mark for it in January 2024. The company is also exploring new products, such as a next-generation patch pump.
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