The medtech giant announced last month that it planned to separate the Diabetes unit. The move sought to create “a more focused Medtronic” with a more simplified portfolio in high-margin growth markets. At the same time, it creates an independent, scaled leader in diabetes. The new company — initially given the placeholder title “New Diabetes Company” — aims to accelerate innovation. It comes with the differentiation of a complete ecosystem that addresses insulin management.
Choosing “MiniMed” as the new company’s name means it doesn’t have to deviate far from a recognizable brand. The company acquired a company called MiniMed for $3.7 billion nearly 25 years ago. It still markets its insulin pumps, including the latest in automated insulin delivery technology, as MiniMed systems.
The medtech giant says choosing MiniMed honors the company’s roots and reflects a 40-year history of transforming diabetes care.
“Our journey began in 1983, when visionary entrepreneur Alfred E. Mann founded MiniMed and revolutionized diabetes care with many first-of-its-kind innovations that pushed the boundaries of care and helped simplify life with diabetes for countless people around the world,” said Que Dallara, current EVP and President of Medtronic Diabetes and CEO designate of MiniMed. “We’re thrilled to honor this rich 40-year legacy with a name that carries deep meaning and trust. As we step forward into this new and exciting chapter, we’ll focus relentlessly on fulfilling our mission to make diabetes more predictable so everyone can embrace life to the fullest.”
More about the planned Medtronic Diabetes separation and the future MiniMed
The planned separation of Medtronic Diabetes follows several years of speculation surrounding the Diabetes unit, as analysts suggested that it was a candidate for sale or spin as far back as 2021.
Following the separation, the company expects to have an enhanced benefit from its scale and strategic commercial, manufacturing and technology synergies. The new diabetes company, meanwhile, expects to become a leading, scaled, direct-to-consumer business.
The business will remain based in Northridge, California, with a team of more than 8,000 employees. It currently represents 8% of Medtronic revenue and 4% of the company’s segment operating profit in fiscal 2025.
Once separated, MiniMed will continue to advance the business’ portfolio, which features tools for diabetes management, including automated insulin pumps, smart insulin pens and continuous glucose monitors (CGMs).
What’s the latest with the Diabetes unit’s pipeline?
The Diabetes unit develops tools for diabetes management, including automated insulin pumps, smart insulin pens and continuous glucose monitors (CGMs).
Most notably — and most recently — the business advanced its landmark partnership with Abbott, connecting insulin systems and CGMs, by submitting an interoperable pump to the FDA in April. Last summer, the companies announced a global partnership pairing Abbott CGMs with Medtronic insulin delivery systems. The partnership aims to collaborate on a system based on Abbott’s FreeStyle Libre CGMs with Medtronic’s automated insulin delivery technology (the latest generation being the MiniMed 780G) and smart insulin pen systems, such as the InPen system.
Medtronic’s systems previously used its own CGMs, such as the Guardian 4 and the Simplera platform, and the company intends to continue using those systems as part of a comprehensive CGM portfolio. Separate from the collaboration, Medtronic just last month earned FDA approval for its own Simplera Sync CGM with MiniMed 780G.
The company initially won FDA approval in August for its next-generation Simplera CGM. The Simplera platform includes the Simplera CGM for use with the InPen smart insulin pen and Simplera Sync specifically for integration with the MiniMed 780G. The medtech giant picked up CE mark for Simplera Sync with MiniMed 780G in January 2024.
Additionally, the pipeline could include next-generation systems like a patch pump offering.
