Abbott to Carve Out Nutrition Business Into Independent Company
By Connor Hart
Abbott plans to separate its nutrition business into an independent company with about $8.5 billion in annual sales.
Daniel Salvadori, who currently serves as executive vice president and group president of Abbott's established pharmaceuticals and nutritional products division, will lead the new company, which will house electrolyte-beverage brand Pedialyte and infant-formula brand Similac.
Abbott has been involved in years of litigation over its management of a baby-formula facility where deadly bacteria was suspected of causing infant deaths, and has agreed to pay several multimillion-dollar settlements.
Abbott expects to complete the transaction by the end of 2027. Upon completion of the separation, Abbott shareholders will own shares in both Abbott and the independent nutrition company.
The separation will not impact Abbott's guidance for 2026 or the guidance for 2027 that the company plans to provide in January, Abbott said. The company expects to incur one-time charges that will be quantified at a later date.
Write to Connor Hart at connor.hart@wsj.com
(END) Dow Jones Newswires
October 21, 2026 08:11 ET (12:11 GMT)
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