3M announced Tuesday that it will spin off its health care business into a separate publicly traded company.
"The decision to spin off our Health Care business will result in two well-capitalized, world-class companies, well positioned to pursue their respective priorities," 3M CEO Mike Roman said in a statement.
The new company will focus on wound care, health care IT, oral care and biopharma filtration.
3M's health care products took in roughly $8.61 billion in sales in 2021.
The spinoff is expected to be completed by the end of next year, and 3M said it will retain a 19.9% stake in the new company.
3M's announcement coincided with the release of its quarterly earnings report Tuesday. The company's second-quarter adjusted profit fell to $2.48 per share from $2.75 per share a year earlier, however, beat analysts' average estimate of $2.42 per share.
3M also said it plans to complete the spinoff of its food safety business to Neogen, with a targeted closing date of Sept. 1. The companies announced the agreement in December 2021.
Reuters contributed to this report.