MiniMed, Medtronic’s diabetes tech spinoff, made its debut on the public markets Friday.
The company started trading on the Nasdaq under the ticker “MMED.” MiniMed offered 28 million shares priced at $20 each, for a total value of $560 million.
The amount was below the $25 to $28 per share suggested by the company in filings last month.
MiniMed has a market capitalization of about $5.29 billion, according to Yahoo finance.
Medtronic CEO Geoff Martha celebrated the milestone and addressed the timing of the initial public offering, as concerns about war in Iran have sent stocks in decline.
“Despite a challenging market backdrop shaped by geopolitical uncertainty, the teams successfully executed an oversubscribed offering and the second largest IPO in Medtech history," Martha said in a statement Friday.
As a standalone company, MiniMed will be more agile, he said, and Medtronic can focus its resources on long-term growth.
MiniMed CEO Que Dallara will lead the independent company. In a LinkedIn post Friday, Dallara thanked MiniMed’s nearly 8,000 employees and its customers.
“Your belief in us over the past four decades empowered us to reach this historic milestone,” Dallara wrote. “This means we won’t get comfortable. We’ll listen closely, move with urgency, and keep raising the bar on reliability, simplicity, and outcomes so that you have confidence and freedom in your day.”
Medtronic, which acquired MiniMed in 2001, announced in May that it would spin its diabetes business off into a separate company within 18 months.
MiniMed is the only diabetes tech company to sell both insulin pumps and continuous glucose monitors. Now, more than 40 years into its history, MiniMed is once again a standalone firm.
Medtronic is expected to hold a roughly 90% share of MiniMed, or 88.7% if underwriters exercise an option to buy 4.2 million additional shares over the next month.
