The 2020 Mid-Year Economic Update_long

Cardinal Health to Spin Off Clinical and Medical Products

Just three months after restructuring, drug distributor Cardinal Health, Dublin, OH, has announced that it will be spinning of its newly focused Clinical and Medical Products segment into a standalone medical technology business. The new public company will be based in San Diego, CA.
 
David L. Schlotterbeck, currently vice chairman of Cardinal, has been tapped as CEO of the as-yet unnamed company. George S. Barrett, who currently heads the Healthcare Supply Chain Services, will succeed R. Kerry Clark as CEO of Cardinal. Clark will retire after the spin-off.
 
Since 1996, Cardinal Health has built an industry-leading med-tech business that, as an independent company, would have the size and scale to stand on its own," Clark said. "This strategic decision will benefit ...

Just three months after restructuring, drug distributor Cardinal Health, Dublin, OH, has announced that it will be spinning of its newly focused Clinical and Medical Products segment into a standalone medical technology business. The new public company will be based in San Diego, CA.
 
David L. Schlotterbeck, currently vice chairman of Cardinal, has been tapped as CEO of the as-yet unnamed company. George S. Barrett, who currently heads the Healthcare Supply Chain Services, will succeed R. Kerry Clark as CEO of Cardinal. Clark will retire after the spin-off.
 
Since 1996, Cardinal Health has built an industry-leading med-tech business that, as an independent company, would have the size and scale to stand on its own,” Clark said. “This strategic decision will benefit Cardinal Health and the new med-tech company by allowing each business to focus on its unique growth strategies, capital needs and customer requirements.”
 
The new company, which will focus on providing offerings for infusion, medication and supply dispensing, respiratory care, infection prevention, medical diagnostics and surgical procedures, is expected to have revenues of more than $4 billion for fiscal year 2009.
 
Cardinal Health will retain its surgical gloves, drapes and apparel, and fluid management businesses that are currently part of the Clinical and Medical Products segment. In addition, Cardinal will retain its Pharmacy Services and Medicine Shoppe International businesses. The company will continue its previously announced in-depth review to align resources and reduce costs throughout the organization.

About the Author
Leave a Reply

Leave a Comment

Sign Up for the MDM Update Newsletter

The MDM update newsletter is your best source for news and trends in the wholesale distribution industry.

By subscribing, you are agreeing to MDM’s Privacy Policy.

2

articles left

Want more Premium content from MDM?

Subscribe today and get:

  • New issues twice each month
  • Unlimited access to mdm.com, including 10+ years of archived data
  • Current trends analysis, market data and economic updates
  • Discounts on select store products and events

0

articles left

This is your last free article

Subscribe to MDM Premium today and get:

  • Unlimited access to MDM.com
  • 1 year digital subscription, with new issues twice a month
  • Trends analysis, market data and quarterly economic updates
  • Deals on select store products and events

1

article
left

You have one free article remaining

Subscribe to MDM Premium to get unlimited access. Your subscription includes:

  • Two new issues a month
  • Access to 10+ years of archived data on mdm.com
  • Quarterly economic updates, trends analysis and market data
  • Store and event discounts

To continue reading, you must be an MDM Premium subscriber.