3M Soars Most Since Pandemic’s Start on Health-Care Spinoff Plan

3M Co. plans to spin off its multibillion-dollar health-care operations, a move that could leave the manufacturer flush with cash as it copes with shifting economic currents that have sapped its profits.

The dramatic step, which sent 3M’s shares up the most since the early days of the pandemic, will reshape a company known for diverse product lines, from electronic components to dental adhesives to Post-it notes. It will retain a stake of 19.9% in the medical-supplies business initially and sell off the holding over time, 3M said Tuesday in a statement.

The company, based in St. Paul, Minnesota, ...