Officially launched Vantive Korea targets renal care market

Baxter's Renal Care Business has been spun off as Vantive…aims to provide specialized care

Parallel company shift, with majority of former Baxter employees transitioned to Vantive Korea

To differentiate itself by integrating innovative technology and digital connectivity services

As Baxter's 'Renal Care and Acute Therapies Businesses' launches as an independent global company completes, it has begun officially operating under a new company name.

 

Vantive Logo

According to medical devices industry on February 5, a fund managed by global investment firm the Carlyle Group has completed the acquisition of Baxter International’s Renal Care business, finalizing the spin-off of the division.

 

As a result, the 'Renal Care and Acute Therapies Businesses' newly launched as Vantive, a company specializing in Vital Organ Therapy.

 

The decision to spin off the business aims to enhance agility in responding to rapidly evolving healthcare needs, establish more precise business strategies, and focus on innovation within each company's specialized division.

 

Vantive has set its mission as 'Extending Life, Expanding Possibilities.' The company plans to set its business strategy based upon its 70-year legacy of pioneering innovations in renal care.

 

As the company's spin-off is completed globally, the spin-off process has also been finalized in South Korea.

 

While business registration updates remain completed, Baxter and Vantive have already been operating as separate entities.

 

Before the launch of Vantive Korea, Baxter relocated its office to the Samil Building on Cheonggyecheon-ro last year.

 

The move was a strategic decision to create a more efficient work environment in the heart of Cheonggyecheon.

 

The global renal care market is currently valued at US$ 15 billion, with an anticipated annual growth rate of 3–4% over the next three years.

 

As of 2021, the 'Renal Care and Acute Therapies Businesses,' which has now been spun off into Vantive, generated approximately US$ 5 billion (KRW 6.4895 trillion) in sales under Baxter, holding a significant share of the company's business.

 

Based on the audit report, Baxter's sales for the past four years were reported to be ▲KRW 242.6 billion for 2020 ▲KRW 244.9 billion for 2021 ▲KRW 192.7 billion for 2022 ▲KRW 188.1 billion for 2023.

 

During the same period, operating profits were reported as ▲KRW 11.9 billion for 2020 ▲KRW 12 billion in 2021 ▲KRW 5.8 billion in 2022 ▲KRW 5.6 billion in 2023.

 

Baxter Korea

Apart from the spinoff, the company already needed a turnaround opportunity to rebound its revenue.

 

Following the separation, Vantive Korea is expected to focus on maintaining and expanding its domestic market presence.

 

In December 2023, during a general meeting of shareholders, the company established Baxter Korea as a new entity through a corporate spinoff.

 

As a result, Baxter Korea will now handle pharmaceutical imports and distribution, excluding the renal business.

 

Vantive will remain the surviving company, responsible for all remaining business segments, including the renal care division.

 

High hopes for Vantive Korea's future directions after a parallel company shift Vantive's 'Renal Care and Acute Therapies Businesses' aims to strengthen leadership in renal disease and vital organ therapy.

 

Even regarding employee distribution, Vantive remains the primary entity after spinoff.

 

According to Baxter Korea's 2023 audit report, the company had 267 employees.

 

After the spinoff, Vantive Korea retained approximately 200 employees, while Baxter Korea downsized to about 50 employees.

 

Based on its 70-year legacy, Vantive Korea plans to differentiate itself by integrating innovative technology and digital connectivity services.

 

At the end of last year, before the launch of Vantive Korea, Baxter relocated its office to the Samil Building on Cheonggyecheon-ro.

 

The move was a strategic decision to create a more efficient work environment in the heart of Cheonggyecheon.

During announcing the company name Vantive, Lim Kwang-hyuk, CEO of Baxter Korea, said, "The renal care expertise accumulated over the past 70 years will be further expanded under Vantive.

 

We will continue investing in innovative treatments and vital organ therapy to extend and improve patient lives." The company's logo also reflects its future strategy.

 

The "V" in Vantive's logo is divided into three sections, representing innovative therapies, digital solutions, and advanced services.

 

As peritoneal dialysis and home dialysis are encouraged, the 'digital patient management platform' is becoming increasingly significant.

 

Vantive is expected to enhance its market share by integrating digital innovations into dialysis equipment.

 

Kieran Gallagher, Chairman of Vantive's Board, said, "The launch of Vantive will be a significant milestone in the ongoing advancement of renal care and life-sustaining vital organ therapy.

 

Vantive is committed to providing enhanced connectivity, visibility, and insights across the entire patient treatment journey."