Siemens plans to spin off health solutions business, Siemens Healthineers
Siemens, the German electrical-device manufacturer, plans to spin off its health solutions business, Siemens Healthineers, which accounts for around 20% of Siemens’ USD 85 billion in annual sales and 40% of its profits. It makes ultrasound, X-ray lab, office for testing and other medical devices. According to a spokesperson from Siemens Healthineers, their products are used in eight out of 10 US hospitals. Industry experts expect that Healthineers, with 46,000 employees across the globe, will grow faster independent from Siemens ownership, as it boosts sales to the fast-consolidating, digital-based and increasingly automated healthcare industry. Siemens sold another Malvern-based business, its hospital data and patients records unit, to Kansas City-based Cerner Corp. for USD 1.3 billion in 2014.