Baxter to Create Global Biopharmaceutical, Medical Product Companies

Deerfield, Ill.-based Baxter has announced plans to create two separate and independent global healthcare companies.

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One of the companies will be geared toward the development and marketing of biopharmaceuticals with an emphasis on improving diagnosis, treatment and standard of care for a variety of bleeding disorders and chronic conditions. The company will be named at a later time and will be led by Ludwig Hanston, PhD.

The other company will focus on life-saving medical products, such as intravenous solutions, nutritional therapies, drug delivery systems, inhalation anesthetics and biosurgery products. The medical product company will retain the Baxter International name. Robert Parkinson, Jr., has been selected as chairman and CEO of the company.

The final transaction to create the two companies, in the form of tax-free distributions to Baxter shareholders of new publicly traded stock in the biopharmaceutical company, is expected to be finalized by mid-2015.

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