Siemens plans to take its healthcare business public

Shares in Siemens hit a 16-year high on Thursday, as the company revealed it would seek shareholders for its healthcare business, it was reported in the German press. Shares were listed at €109.40 in afternoon trading on Germany’s blue-chip index, an increase of over 4 percent day-on-day. Healthcare is a very profitable segment of Siemen’s business, which includes transport and energy infrastructure, among other things. The move is believed to signal a desire for the company to increase its input of capital, according to the report. “With the listing, Siemens believes it will be better able to build positions in identified growth fields (where multiples will be much higher…)” wrote Barclays capital-goods analysts. The report did not provide details on when, or how much of, the business would be publically-listed. The company suffered a 13 percent drop in order intake over the last quarter, worse than forecasts had predicted.