American medical device giant Becton Dickinson (BDX.US) is currently in negotiations with its competitors to divest its life sciences division.

American medical device giant Becton Dickinson (BDX.US) is in negotiations with competitors Thermo Fisher Scientific (TMO.US) and Danaher Corporation (DHR.US) regarding a plan to divest its $21 billion life sciences division. According to media reports citing sources familiar with the matter, Becton Dickinson has started holding management meetings with relevant parties in recent weeks. The company is also in negotiations with Thermo Fisher Scientific, Danaher Corporation, as well as smaller competitors Waters Corporation (WAT.US), QIAGEN NV (QGEN.US), and Revvity for tax-free stock swaps. Reports suggest that Becton Dickinson is expected to announce further plans regarding its life sciences division this summer, with a goal of completing the transaction next year. The company may also decide to spin off the division. Private equity firms are also keeping an eye on this business. In February of this year, Becton Dickinson stated that it was systematically preparing to split off its highly valuable life sciences division. This division encompasses two core business segments: biosciences and diagnostic solutions. It is reported that this split is being driven by activist investor Starboard Value. According to Starboard Value, although Becton Dickinson's life sciences division holds a significant position in the industry, the existing growth model may have limitations in fully realizing the potential value of the division. To maximize their investment returns and drive innovation and change in the entire industry through corporate strategic adjustments, Starboard Value proposed the division of Becton Dickinson's life sciences division. They believe that the split-off life sciences division will be able to break free from the constraints of the original organizational structure, operate with a more independent and flexible approach to adapt to the rapidly changing market environment, improve operational efficiency, attract more professional investments, and ultimately drive the company's stock price higher.