Thread regarding 3M layoffs

KCI was absolutely TOXIC in every way.

@3zck+1leMnyxM - why would you do this? I think this should tell you everything you need to know about your value as an employee.

Bringing in an outside person to run medical-kci was a huge risk. Plus EVP overseeing that deal was unproven and quickly bailed.

@4wum+1leMnyxM. Remain co retains 20% stake in spin co so I believe that means it can be sold off for cash whenever remain co needs it to pay claimants. Leadership is expecting spin co to trade at health care valuations, so I’m sure they are hoping their 20% stake is worth much more than it is within the valuation of an industrial. It is absolutely about generating cash, but I’m sure our leadership will manage to sc--w the spin up as well either through poor strategy or execution.

Acelity - oh yes those tech synergies

Yes KCI - look at stock performance the day the deal was announced. Who was chief strategy officer when the “we will emphasize healthcare acquisitions” strategy was hatched ?

The spin does not bring in cash for the shares

The spin really makes zero sense other than to raise badly needed cash for parent co. There are little to no synergies to any of the businesses within spin. Probably too much work and too time consuming to break all of health care up and sell its pieces, which will probably end up happening in the end anyway years down the road.

I have to agree that KCI Purchase the worse decision ever! But spinco will not sell KCI, they will sell surgical solutions first. We in the field are getting up at 3 am, leaving for account at 4 am, driving three hours to do 8 hours of work then drive the three hours home since 3M won’t pay for a hotel. Two lane roads, fog, snow, sleet, deer could incapacitate or ki-l one of us. How will 3M handle that lawsuit?

The KCI acquisition has been one of the worst decisions made by this company and started the destruction of the HC business. There is no synergy with this portfolio compared to the others in HC. Rather than upper leadership realizing that, they keep shoving this idea that Wound Care is the future rather than admitting it was the worst decision made and a giant waste of money. Rather than spinning off HC, 3M should look to sell KCI off as soon as possible.

Rumor Mill flying with joint Ge and mm hc venture.Can never happen

I still think 3M is shopping around HC for a buyer who will break it up. The OP's point about lack of synergy is entirely correct. There are 3 or 4 very healthy separate businesses in HC, just not a single unified reason for them to be in one company. One could argue keeping MSD and OCSD together, they might be close enough that some long-term synergy can be had there.

@OP+1leMnyxM. Is this pure speculation or do you have a source or inside knowledge? The delay in some announcements is a little bit surprising to me. I would imagine it’s very hard to unring the bell once a spin is announced. There must or should be lots or due diligence done before announcing a huge strategic move like this.