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Pfizer may be talks to merge off-patent drugs business with Mylan

Separation of Pfizer's off-patent business would be a tax-free spin-off

Reuters 

Photo courtesy: Reuters
Photo courtesy: Reuters

Inc is in talks to merge its off-patent drugs business with NV in a stock deal, according to a source familiar with the matter.

shareholders would receive a little more than 40 per cent of the newly formed entity, with shareholders receiving the remainder, the person said, adding that would also get about $12 billion in proceeds from a new sale of debt.

Separation of Pfizer's off-patent business would be a tax-free spin-off, the person added.

Last year, Pfizer said it was planning to reorganize into three units, separating its consumer healthcare business.

The restructuring will allow the company to evaluate its businesses better and could result in selling or spinning off its off-patent drugs, Wall Street analysts earlier said.

The Wall Street Journal first reported about the talks between the on Saturday.

Pfizer and did not immediately respond to requests for comment.

 

First Published: Sat, July 27 2019. 20:13 IST
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