With Mylan deal, Pfizer seeks faster growth via innovation focus

Pfizer's decision to spin out its off-patent unit and merge it with Mylan will give investors greater optionality, as management expects the remaining pharma to be a smaller but faster-growing company focused more narrowly on innovative drugs. The transaction culminates a multiyear process in which Pfizer has contemplated various deals, restructurings and break-up scenarios to sharpen its focus on innovation.

The all-stock merger will create a Delaware-domiciled entity, soon to be renamed, that will house generics and biosimilars from Mylan N.V. (NASDAQ:MYL) as well as legacy branded and generic drugs from the Upjohn unit of Pfizer Inc. (NYSE:PFE). Pfizer will retain its existing biosimilar portfolio and pipeline, spokesperson Patricia Kelly told BioCentury...