Medtronic says it now plans to separate its diabetes business from other operations and create a new company.

Company officials made the announcement early Wednesday morning, saying the move will allow Metronic to focus on itself and have a “simplified portfolio in high margin growth markets” while also creating “an independent, scaled leader in diabetes.”

The company – which is based in Ireland but operates out of Minnesota – says it plans to separate the two entities within 18 months but will still need to get the approval of the Medtronic Board of Directors.

The new diabetes company is expected “to commercialize a complete intensive insulin management ecosystem”, according to a news release announcing the separation.

Medtronic says there are currently 8,000 people employed around the world in its diabetes team. The company adds the separation will include the diabetes business employees, global manufacturing facilities, product portfolio and more.

According to Medtronic, the separation will be tax-free to company shareholders. A 7 a.m. meeting is underway to discuss the separation, as well as fourth quarter and fiscal year 2025 financial results.