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3M Company, announced in July 2022 its intent to spin-off its Health Care business, which would result in two world-class public companies. The new health care company will operate under the leadership of the newly appointed CEO, Bryan Hanson.

On May 30, 2023, the Board of Directors of 3M India authorized 3M India management to discuss details relating to this announcement with 3M Company.

3M India in collaboration with 3M Company, considered that an exclusive Licensed Manufacturer and Reseller model together with an independent Distribution model was the best arrangement to align with the new Healthcare entity and its affiliates to ensure the continued growth of the Health Care business in India. Today, the Board of Directors of 3M India approved the arrangement as they determined it to be the preferred path to drive accelerated growth in the country.

A Licensed Manufacturer and Reseller model will allow 3M India continued exclusive access to the Health Care products and IP portfolio from the new entity and continued participation in the growing Health Care market in India.

The Distribution model will permit 3M India to act as an independent exclusive distributor of the new entity’s products in India, assuring continued leverage for the Health Care business.

Commenting on this new model, 3M India Managing Director Ramesh Ramadurai said, “3M India is pleased with the arrangement with the new world-class Health Care entity and its affiliates. We believe it to be in the best interests of 3M India and all its stakeholders.

These agreements have an initial term of 5 years and will become effective upon the spin-off of 3M Company’s, Health Care business into a stand-alone, public company. 3M Company expects to complete the global health care spin-off during the first half of 2024, subject to final 3M Company Board of Directors’ approval and other required conditions.

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