(Adds details, background)
ZURICH, May 27 (Reuters) - Swiss industrial company Sulzer is spinning off its applicator systems unit, it said on Thursday, in a deal that will give shareholders ownership and raise up to 300 million Swiss francs ($334 million) in fresh capital to grow the business.
The listing on the Swiss stock exchange is planned for the second half and subject to Sulzer shareholder approval at an extraordinary general meeting in the third quarter. The new company is to be renamed medmix, and Sulzer investors will get one share for every share they own in Sulzer.
The applicators unit makes industrial adhesives dispensers, off-the-shelf devices to deliver cosmetics from reality star Kim Kardashian’s company and health care applicators like self-injection pens for reproductive health and growth disorders. It expanded through an acquisition last year, to grow its health care segment.
“The Board of Directors of Sulzer is excited to bring medmix to the market,” Sulzer Chairman Peter Loescher said in the statement. “Its rapid development over the last few years, and the anticipated growth of its healthcare platform, make this the right time to do so.”
The spinoff will leave Sulzer with units that make industrial oil and water pumps, perform services on rotating equipment like turbines and manufacture and install equipment for chemicals plants and refiners.
More details about the transaction and Sulzer’s other businesses are due on June 15 at a capital markets day.
$1 = 0.8972 Swiss francs Reporting by John Miller; Editing by Michael Shields