Medtronic's Diabetes Spin-off MiniMed Files for IPO on Nasdaq

Recently, according to foreign media reports, a major strategic move by Medtronic, the global leader in medical devices, has entered a critical phase. Medtronic announced that its diabetes business, MiniMed, has submitted an application for an initial public offering (IPO) to the U.S. Securities and Exchange Commission (SEC).

Image Source: Latest Medical Device News on MassDevice

01

Spin-off

Listed on the NASDAQ Stock Exchange

On May 21 this year, Medtronic officially announced plans to spin off its diabetes business into a brand-new independent public company——MiniMed, and explicitly stated that priority will be given to completing this process through an initial public offering (IPO) and subsequent equity divestiture, with all work expected to be completed within the next 18 months.

Recently, with the official announcement by Medtronic, this business divestiture process has also achieved a substantive breakthrough.MiniMed Plans to List on Nasdaq, the stock code is proposed to be "MMED", and it plans to raise funds through an IPONo more than 100 million US dollarsFunds.

According to public information, during the six months ended October 24, 2025, MiniMed achievedNet Sales of $1.48 Billion, Net Loss of $21 Million, revenue increased compared to the same period last year, while losses narrowed slightly. However, it is worth noting that the diabetes business is not a consistently "burdensome" negative growth area in Medtronic's operations. The spin-off of Medtronic is more about strategically focusing and optimizing its business portfolio.

According to Medtronic's fiscal year 2025 earnings report, the diabetes business contributed to Medtronic's revenue.$2.75 billion in sales, and achieved a growth of 10.7%. Although this business segment still maintains a growth trend, overall, its impact on total revenue is relatively small. The revenue from the diabetes business accounts for8% of total revenue, 4% of operating profit。

Therefore, the spin-off of the diabetes business is more like a strategically clear move made by Medtronic after integrating its own business portfolio and long-term growth logic, and examining the global medical device market landscape.

On the one hand, from the perspective of MiniMed itself, its product pipeline has relatively matured, and its core productMiniMed 780G Automated Insulin Delivery SystemMedtronic also received two key FDA approvals in September this year, significantly enhancing the product's competitiveness. Through the spin-off, MiniMed can gain an independent capital platform and operational flexibility, enabling it to more effectively address the intense market competition and innovation demands in the diabetes field.

On the other hand, Medtronic can focus its resources on core areas with more competitive advantages and high-profit growth, such as cardiovascular and neuroscience. After the spin-off, Medtronic expects its overall adjusted gross margin and operating profit margin to increase by 50 basis points and 100 basis points, respectively.

The global diabetes market is rapidly expanding alongside the growth of the patient population. According to publicly available data, the global diabetes market size reached $88.32 billion in 2024 and is expected to surpass $100 billion by 2025. With many companies entering the diabetes sector, competition in this market is intense, and MiniMed will face pressure from medical device giants like Abbott.

02

Strategic Continuity

Accelerate Product Layout

Spin-off of Diabetes Business Continues Medtronic's Slimming Strategy in Recent Years. In 2023, Medtronic divested its renal care business and formed a joint venture, Mozarc Medical, with DaVita. In 2024, it exited the ventilator market. These actions all point to the same goal: streamlining the business portfolio, exiting areas with weak growth or non-core operations, and concentrating management resources and capital on the most competitive and profitable tracks.

After the split, Medtronic's business will focus onCardiovascular, Neuroscience, Medical SurgeryIn these three major segments. In Medtronic's financial results for the second quarter of the 2026 fiscal year announced in November, the three major segments showed strong growth momentum.

Cardiovascular business remains at the forefront,Revenue of $3.436 billion, a year-on-year increase of 10.8%, marking the strongest performance in over a decade aside from the impact of the pandemic. Notably, revenue from Cardiac Ablation Solutions surged 71% year-over-year. Additionally,Neuroscience business revenue was $2.562 billion, an increase of 4.5%; Medical Surgical business revenue was $2.171 billion, an increase of 2.1%.

Moreover, Medtronic's products are continuously advancing in 2025. According to the Pharma Data medical device query, Medtronic has already been listed in the United States.7888 Products, launched in China377 ProductsAs one of the largest markets in the medical device sector, China has attracted continuous investment and expansion efforts from major global medical device companies. An increasing number of innovative products from Medtronic have been approved for use in China, such as the SmartSyncTM Tablet Programmer, Profile 3DTM Annuloplasty Ring, Cardioblate CryoFlexTM Surgical Cryoablation System, and SonicisionTM Ultrasonic Scalpel.

Source of the image: PharmCube Medical Device Data

In addition, products such as the Aurora EV-ICD™ extravascular implantable cardioverter defibrillator and the world's first "brain-computer interface" deep brain stimulator, Percept™ RC rechargeable deep brain neurostimulator, have begun to be clinically applied in China.

In the international market, Medtronic is accelerating the deployment of several promising products. For instance, the Hugo robotic-assisted surgery system officially received FDA approval on December 4, with the first indication being urological surgery. Meanwhile, Medtronic is steadily advancing in its cardiovascular sector, continuously expanding its leading position in the cardiovascular business.

03

Conclusion

Giant Slimming Common in Recent Years; This Month, Teleflex Announces Major Decision to Sell Three Business Segments for $2.03 Billion