Agilent Technologies has split to form two public companies but will continue its focus on its food program, the firm said yesterday.
It announced plans to separate and form one company in life sciences, diagnostics and applied markets (LDA) that will retain the Agilent name and the other that will comprise of Agilent’s current portfolio of electronic measurement (EM) products.
The company retaining the name identified growth drivers such as food and water quality and emerging economies.
Chemical and Energy takes 24% of revenue mix by end market, Environmental and Forensics will make up 16% of business while Food will be 11%.
“Our food customers should expect the same innovative technology and high-quality attention to their needs as Agilent has always delivered,” an Agilent spokesman told FoodQualityNews.com.
“Once the separation is completed, Agilent will be able to implement growth strategies, business policies and practices uniquely suited to individual markets and customer needs, like our food program.”
The new Agilent will work in life sciences, diagnostics and applied markets, with a balanced geographic revenue profile, growth opportunities in emerging markets and margin-expansion opportunities. FY13 estimated revenues are $3.9bn.
Americas and Asia will bring in 34% of revenue mix while Europe will be 33%.
Separation by end of 2014
Agilent board of directors granted initial approval to pursue the separation plan at its meeting on 18 September and it is targeted to be completed by the end of calendar 2014, subject to the satisfaction of closing conditions.
Agilent has also combined its Life Sciences Group with its Diagnostics and Genomics business, naming Lars Holmkvist the group’s president and senior vice president.
The life sciences, diagnostics and applied markets company, will be comprised of two businesses – the Chemical Analysis Group, led by Mike McMullen, current group president and Agilent senior vice president, and the Life Sciences and Diagnostics Group, under Holmkvist as its president.
Bill Sullivan is president and CEO of Agilent, and Didier Hirsch continues as CFO.
The company is expected to incur one-time charges related to the transaction during the periods preceding the separation, to be quantified at a later date.
“Agilent has evolved into two distinct investment and business opportunities, and we are creating two separate and strategically focused enterprises to allow each to maximize its growth and success,” said William (Bill) Sullivan, Agilent president and CEO.