BATESVILLE, Ind. - Hillenbrand Industries, Inc. announced Thursday that its Board of Directors approved a plan to separate into two independent publicly traded companies.
Medical technology business Hill-Rom will be spun out of Hillenbrand. Batesville Casket will become the sole operating unit of Hillenbrand Industries. The current management team of each company would remain in place.
The separation should be completed within nine months.
“After a detailed review, we concluded that there is a strong business case to support the separation of the two companies. In addition, the strength of our current and projected performance supports this action. We feel that separation at this time is the best way to unlock value and allow each company to focus on growing at an industry leading rate,” said Rolf A. Classon, chairman of the Board of Directors.
“The plan to separate these two companies is consistent with our strategy to create focused, mission-driven enterprises that can each achieve their business objectives and better pursue growth opportunities in their respective markets,” added Peter H. Soderberg, president and CEO.