Healthcare group Baxter said today it would separate into two companies, one that focuses on biotechnology and the other devoted to medical equipment.

The company said its biotech business had 2013 revenue of $6 billion while medical products and equipment sales were $9 billion.

Ludwig Hantson, president of its BioScience group, will head the new biopharmaceuticals company.

In December, the company announced it was cutting 110 jobs at its kidney dialysis product plant in Castlebar, Co Mayo

Baxter shares traded at $78.39, up 10.6 per cent in pre-market trading.