Thermo Electron to Split Into 3 Businesses

Thermo Electron Corp., the biggest maker of measurement instruments for medical and chemical companies, said it will split into three businesses and sell units with $1.2 billion in revenue. The Waltham, Mass.-based company said it will concentrate on its instruments business and spin off its Thermo Fibertek composite products unit and a new medical products company to shareholders. Thermo Electron said in May that it would cut the number of its publicly traded units from 23. Thermo Electron forms companies based on technology it develops and sells minority stakes to the public. Investors have complained that the company is too complex and have called for it to simplify its operations and sharpen its focus. Thermo Electron shares had dropped about 65% in the last two years; on Monday, the shares rose $1.06 to close at $17.31 on the NYSE. The company plans to sell its Thermo Cardiosystems, Trex Medical, Thermo TerraTech, Thermo Coleman, Peek, NuTemp, Thermo Trilogy and Peter Brotherhood businesses. It does not anticipate any losses from the sales. The reorganization and asset sales are expected to be completed by early next year.