Halyard Health to be standalone company starting October 31.
Kimberly-Clark will officially spin off its healthcare business October 31. K-C shareholders will receive one share of Halyard Health common stock for every eight shares of Kimberly-Clark held at the close of trading October 23 as well as cash in lieu of any fractional shares. Prior to the completion of the spin-off, K-C Healthcare, which will subsequently be known as Halyard Health, will make a one-time cash payment to Kimberly-Clark.
"The spin-off will let Halyard Helath pursue its own value-creation opportunities as a focused healthcare company," says Thomas J. Falk, CEO. "Looking ahead, we continue to be optimistic about our prospects to deliver strong returns to shareholders through the successful execution of our global business plan."
K-C announced plans to spin off its healthcare business, which generates $1.7 billion per year, earlier this year to provide better value for its shareholders.