Medtronic’s MiniMed Group targets up to $7.86 billion valuation in U.S. IPO to separate diabetes business. Unit seeks to raise $784 million by offering 28 million shares priced between $25 and $28 each, focusing on insulin pumps and glucose monitoring systems for investors seeking diabetes technology exposure.

The decision to separate MiniMed comes after Medtronic planned to streamline operations by splitting off its diabetes business, its smallest revenue segment. The move follows the company’s exit from the ventilator business in 2024 and the creation of the Mozarc Medical joint venture to focus on high-margin growth markets.

Despite strong revenue growth, MiniMed has posted net losses for three consecutive years, signaling the need for a clear path to profitability as an independent entity. The unit has seen growth in recent quarters driven by its 780G insulin pump and sensor improvements, but investors will demand financial stability going forward.

Goldman Sachs, BofA Securities, Citigroup, and Morgan Stanley are the active bookrunners for MiniMed’s IPO on the Nasdaq under the symbol “MMED”. Medtronic is expected to conduct a subsequent split-off of MiniMed six months after the initial public offering.

Read more at Yahoo Finance: Medtronic’s diabetes unit MiniMed eyes $7.9 billion valuation in US IPO