Wednesday, October 19, 2011

Abbott Plans to Split Into Two Companies -

Abbott Laboratories said on Wednesday that it would separate into two publicly traded companies, one focused on medical devices like heart stents and the other developing what it called “researched-based pharmaceuticals,” like its blockbuster rheumatoid arthritis drug Humira.

The medical device company would retain the Abbott name and have $22 billion in annual sales, and be led by Miles D. White, the current chairman and chief executive. The pharmaceutical spin-off, which has yet to be named, would have $18 billion in annual sales and be led by Richard A. Gonzalez, an Abbott veteran of three decades.

“Today’s news is a significant event for Abbott, and reflects another dynamic change in our company’s 123-year history, strengthening our outlook for strong and sustainable growth and shareholder returns,” said Mr. White in a news release.

Posted via email from Jack's posterous

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