3M health care spinoff Solventum seeking state help to keep HQ in Minnesota

Solventum, the 3M health care spinoff, might be keeping its home base in Minnesota after speculation it could eventually set up its headquarters out of state.

The company is working with the city of Eagan to move into an existing commercial building there and is seeking state support for the major upgrades the campus will need to accommodate upward of 800 employees working on-site every day.

There was concern Solventum could exit the state after leaving its short-term home on the 3M campus in Maplewood. San Antonio, home of major subsidiary Acelity, was a possible target, and Solventum had not made any pledges to remain in Minnesota.

“Other states [and countries] are generously courting the company to move to their jurisdiction, and the bulk of the company’s business is, in fact, not currently located in Minnesota,” an Eagan City Council resolution read. “The company could downsize its workforce currently located at the 3M corporate campus in Minnesota and move employees to any of the company’s 29 locations outside of Minnesota.”

Instead, the state might keep its newest public company, and the Twin Cities could continue to boast yet another Fortune 500 business.

To make that happen, Solventum is looking for an as-yet-unspecified level of funding from the Minnesota Department of Employment and Economic Development (DEED), likely many millions given the “large amount of capital investment” needed, according to city documents.

“The assistance to be provided by DEED is appropriate and necessary to retain an existing business in Minnesota,” the resolution said.

Solventum spun off from 3M on April 1 this year. It manufactures a range of medical devices, bandages, dental supplies and other products. The company earned roughly $8 billion in annual revenue when it was a part of 3M.

The Eagan council will meet Tuesday to vote on the resolutions supporting the company’s applications to DEED’s Job Creation Fund and Minnesota Investment Fund.

Solventum and the city of Eagan declined to comment, and DEED did not provide any details when reached Friday.