Summary
Pfizer Inc. announced the completion of its Separation of the Upjohn Business, effectively combining it with Mylan to form Viatris. This strategic move, effective November 16, 2020, represents a significant divestiture for Pfizer, allowing it to focus on its innovative biopharmaceutical pipeline. Pfizer stockholders received approximately 0.124079 shares of Viatris common stock for each share of Pfizer common stock they held, resulting in Pfizer shareholders owning approximately 57% of Viatris post-combination. This transaction marks the end of the Upjohn business, which was focused on off-patent branded and generic medicines, under the Pfizer umbrella. The formation of Viatris is expected to create a new entity with a diversified portfolio and significant scale in the generics and biosimilars market. Investors should note that this divestiture will alter Pfizer's revenue and earnings profile, shifting its focus towards its core biopharmaceutical operations.
Key Highlights
- 1Pfizer has completed the separation of its Upjohn Business, combining it with Mylan to form Viatris.
- 2The transaction was effective as of November 16, 2020.
- 3Pfizer stockholders received Viatris common stock as part of the distribution.
- 4Pfizer shareholders will own approximately 57% of Viatris on a fully diluted basis.
- 5Two Pfizer board members, James Kilts and W. Don Cornwell, have resigned from Pfizer's board to join the Viatris board.
- 6Unaudited pro forma consolidated financial information related to the separation is attached as an exhibit.
- 7This separation allows Pfizer to concentrate on its innovative biopharmaceutical portfolio.