** Shares of medical device maker Medtronic MDT.N down 1.3% at $85.26 premarket

** MDT plans to separate its diabetes business into a stand-alone company within 18 months, the Wall Street Journal reports

** The new company, led by the head of Medtronic's diabetes division, will have around 8,000 employees, WSJ says

** As of last close, stock up 8.12% YTD

(Reporting by Siddhi Mahatole)

((siddhi.mahatole@thomsonreuters.com))