Abbott selling part of generics portfolio to Mylan
- Abbott is selling its developed markets branded generics portfolio to Mylan, whose existing business and the portfolio will be combined to create a new, publicly traded company.
- The portfolio was sold for 105 million shares — approximately 21% of the new company.
- Abbott will hold onto its developing markets generics portfolio, which generated $2.9 billion in revenues in 2013.
Abbott is continuing to focus on building a strategic presence in developing-nation markets. In May, the company acquired CFR Pharmaceuticals, a Chilean company which operates in 15 Latin American markets. Abbott expects that the branded generics business in developing markets---the business they are retaining—will have sales growth rates approaching double digits.
The business that Abbott is selling has approximately 3,800 employees; manufacturing facilities in the Netherlands, Germany and Canada; and operations in Europe, Japan, Canada, Australia and New Zealand.