Getinge unveils major overhaul

Getinge (STO:GETI-B) said today that it’s planning a major overhaul that will see its 3 divisions merged into 1 by the beginning of next year, as it targets organic sales growth of 2% to 4% over the next few years.

The Swedish medical device giant said it expects the moves to generate annual EBITA gains of SEK 2.5 billion to 3 billion, or $296.4 million to $355.6 million by 2019.

“The transformation program will ensure a customer-focused organization, while we position Getinge for improved profitability and increased growth,” president & CEO Alex Myers said in prepared remarks. “The new functional organizational structure that we are now establishing creates completely new opportunities to support our customers, drive change and leverage the synergies identified.”

Getinge said it plans to create a new “functional structure,” with a group-wide supply chain system led by president Reinhard Mayer; and 3 “business category units”: Surgical workflows, led by president Joacim Lindoff; acute care therapies, led by president Heinz Jacqui;  and patient & post-acute care, led by president Felix Lara.

“To strengthen our market positions and better reflect customer needs and requirements, a new sales organization will also be established to promote the joint product range. The Maquet, ArjoHuntleigh and Getinge product brands will be retained,” Getinge said.

The moves also mean a new management structure for the company, with Myers retaining the corner office. ArloHuntleigh president & CEO Harald Stock is out, the company said, replaced on an interim basis as extended care president by international emerging markets president Paul Lyon (also APAC president).

Ulf Grunander will serve as CFO, with Carsten Blecker as EMEA president and Raoul Quintero as Americas president.  Andreas Quist is slated to be executive vice president for HR & sustainability, with Kornelia Rasmussen as communications EVP and Lena Hagman as EVP of quality & regulatory compliance.

Getinge also confirmed its outlook for the rest of the year. GETI-B shares traded up 11.7% to SEK 200.00 in Stockholm today, or about $23.72 per share.

The post Getinge unveils major overhaul appeared first on MassDevice.

from MassDevice http://ift.tt/1LUlhFv