(Nyse: bdx)
announced that its board of directors unanimously authorized the management to continue the separation of its business of life sciences.
BDX actions dropped by 1.3% to $ 241.85 each in pre-commercial trade today.
The company plans to separate its unit from bioscience and diagnostic solutions from the rest of comics. He hopes to improve strategic orientation and investments focused on growth and capital allowance to improve value creation for shareholders. This announcement comes from days after a Financial time Report the interest of investors described to separate companies.
BD said the decision was part of a complete portfolio assessment launched at the beginning of 2024. It wants BD to be recognized as a focused, innovative and growth leader with four segments aligned on essential needs and trends health care growth. The company expects the separate company to become a differentiated leader in the tools and diagnoses of the life sciences.
This company brought in nearly $ 5.2 billion in 2024, contributing to 25.7% of the Géant de Medtech’s overall income for the year. The unit includes commercial nuts of integrated company diagnostic solutions (IDS) and biosciences (BDB). IDS includes specimens management technologies, while BDB offers technologies such as cell analyzers technology and cancer reagents. The management of specimens, which is part of the life science segment, remains with a new comic strip.
“Our BD 2025 strategy has transformed the company into a faster and more profitable organization positioned at the forefront of long-term growth trends in health care, and we think that today is today An exciting next step to unlock an important potential value for all our our stakeholder functions, ”said Tom PolenPresident, CEO and president of comics. “We believe that separation will position the new comic as a differentiated leader from Medtech and allow optimized investments to accelerate our innovation pipeline and continuous margins improvement thanks to BD excellence to finance growth.
“We believe that biosciences and diagnostic solutions should offer substantial value as a leader in pure game in life sciences and will be well placed to execute its unique and convincing solutions and growth opportunities. This transaction is designed to position the two companies to thrive in our respective sectors and offer value to shareholders. »»
BD to become a Pure-Play medtech innovator
This separation would mark the second sale of important activities by comics in recent years after having rejected EmbracingHis diabetes unit.
After separation, BD plans to become a Pure-Play Medtech company with four new operational segments ready for growth. Bd has reinforced these offers with the Adding EDWARDS intensive care activity last year Also.
Medical Essentials, which includes drug delivery solutions and the management of specimens, offers IV catheters, PICCs, rich and other essential solutions for vascular access and management, blood collection solutions, syringes and advanced technologies.
Connected care includes medication management solutions and advanced patient monitoring. It has smart devices using automation, AI and analysis to improve patient care.
Biopharmatic systems, with a name change from pharmaceutical systems, provide biological administration of drugs and develop and manufacture administration of medicines for the pharmaceutical industry. The company said that this includes the transition to biologicals such as GLP-1 treatments.
Finally, BD Interventional includes urology and intensive care, peripheral intervention and surgery companies. These units offer solutions for chronic conditions such as urinary incontinence, peripheral vascular diseases, cancer and hernias.
With the changes, BD provides that 2024 income totaling approximately $ 17.8 billion.
Details of the planned separation
BD said its board of directors is committed to exploring all opportunities to execute separation. This could include a Trust morris, a sale, a spin-off or another inverted transaction. He expects more details by the end of the 2025 exercise with the completion intended for the 2026 exercise.
The company said that, when it continues this sale, it remains focused on. He intends to continue to exploit the company and other units in accordance with his strategy. This includes continuous investments in commercial growth, innovation, mergers and acquisitions and other initiatives.
Following the announcement, BD decided to postpone his investor day, previously scheduled for February 26, to focus on the transaction. He expects a full update of the strategy closer to separation.
What about the results of the first quarter of comics?
In addition to the scheduled sale, BD announced financial results for the first quarter of 2025.
The company based in Franklin Lakes, New Jersey, said profits of $ 303 million. This is equivalent to $ 1.04 per share on sales of $ 5.168 for the three months enclosed on December 31, 2024.
BD recorded a net gain of 7.8% on an increase in sales of 9.8%.
Adjusted to exclude punctual articles, profit per share amounted to $ 3.43. This landed 44 ¢ before expectations to Wall Street. Sales have also exceeded estimates because experts provide $ 5.11 billion in income.
“We delivered solid operational performance in the first quarter, with income growth, expansion of margins and profit by action before our expectations,” said Polen. “We continue to transform our company via BD 2025, and our intention to separate biosciences and diagnostic solutions is based on the solid bases and momentum of our strategy. This separation is designed to unlock a significant value for “new comics” and bioscience and diagnostic solutions, because each focuses on growth in growth, the realization of leading innovation and operational excellence on their respective markets. Our talented teams continue to stimulate the solid execution of BD 2025 and significant innovation in these companies and through comics. »»
BD expects the adjusted BPA to varies between $ 14.30 and $ 14.60 for the full year, a slight increase at the end of previous forecasts between $ 14.25 and $ 14.60. It provides between $ 21.7 billion and $ 21.9 billion in sales, reducing its previous range by $ 21.9 billion to $ 22.1 billion.