Nov 14 Kimberly-Clark Corp, the maker of
Kleenex tissues, said its board authorized a potential spin-off
of its health care business, sending its shares up 6 percent in
The company said the move would enable it to focus on its
consumer and K-C professional brands.
Kimberly-Clark said Robert Abernathy, currently group
president - Europe, global nonwovens and continous improvement
and sustainability, will become chief executive of the new
health care company if its spun off.
The company said it expects to make a final recommendation
regarding in the next several months. If the spin-off is
approved, the transaction would be completed by the end of the
third quarter of 2014.
Morgan Stanley has been retained by the company in pursuit
of the spin-off.
Kimberly-Clark's health care business sells surgical and
infection prevention products for the operating room, as well as
medical devices. It posted net sales of $1.6 billion in 2012.
The company's shares were trading at $116.60 after markets
closed. They had closed at $109.71 on the New York Stock
Exchange on Thursday.
(Reporting By Maria Ajit Thomas in Bangalore; Editing by