Fortive

Shares of Fortive (FTV - Get Report)  slipped nearly 2% to $67.67 Wednesday after the technical instruments company said it would split into two independent, publicly traded companies.

The Everett, Washington-based company said one organization would be an industrial technology company that would retain the name Fortive, and have a portfolio of businesses aligned with growth trends driven by the shift toward software-enabled workflows, the importance of connected devices and IoT offerings, rising productivity, safety, and security requirements, and the demand for healthcare.

The other company would focus on transportation and mobility market with a portfolio of leading retail and commercial fueling, fleet management, and professional tools brands.

The separation is expect to be completed in the second half of 2020, the company said.

"As separate companies, each business will benefit from increased strategic focus and enhanced flexibility to invest in distinct organic and inorganic growth opportunities," James Lico, president and CEO, said in a statement. "We are confident this will create additional opportunities and enhanced value for our employees, customers and other stakeholders."

Lico will continue as president and CEO of Fortive, while Charles McLaughlin will continue as senior vice president and chief financial officer of Fortive.