Abbott Laboratories to spin off $8.5 billion nutrition business

Abbott Laboratories has announced plans to spin off its nutrition division into an independent, publicly traded company by the end of 2027. The nutrition business, which generates approximately $8.5 billion in annual sales, will operate with roughly 16,000 employees and 14 manufacturing facilities.

The separation aims to allow Abbott to focus on higher-growth sectors, including medical devices, diagnostics, biowearables, and established pharmaceuticals. The new standalone nutrition entity will manage a portfolio of major brands such as Similac, PediaSure, Pedialyte, Glucerna, and Ensure.

Daniel Salvadori, currently Abbott’s executive vice president and group president of Established Pharmaceuticals and Nutritional Products, is slated to become the chief executive officer of the new company. The transaction remains subject to regulatory approvals and board consent.