The merger of Pfizer‘s (NYSE: PFE) generic drug business, Upjohn, s Mylon 09.30 NASDAQ: MYL will pass soon after the companies have agreed to an order for consent with the US Federal Trade Commission. The companies did not provide any details of what they agreed to do in order to comply with this consent order.
On November 13, Pfizer will split from Upjohn and its shareholders will receive shares in the new company. Upjohn will then immediately merge with Mylan. The deal is expected to close three days later and the merged company will be renamed Viatris.
Pfizer shareholders will have to do nothing but remain shareholders to receive shares in the new company. The exact number of Viatris shares they will receive for each Pfizer share will be determined by the number of outstanding Pfizer and Mylan shares at closing. The ratio used will result in Pfizer̵
The premise of the merger is that Upjohn’s global reach will accelerate the growth of Mylan’s drug sales. In addition to generic drugs, Upjohn will also bring pharmaceuticals with branded products that have generic competition, such as Lipitor, Celebrex and Viagra.
The combined company will have a portfolio of over 1,400 drugs, which it will sell in more than 165 countries and territories. When the deal was announced last year, companies expected annual revenue for Viatris to be in the range of $ 19 billion to $ 20 billion, with cash flow expected to exceed $ 4 billion.