GlaxoSmithKline sold its Pfizer veterinary business, baby formula division, and consumer products division in a deal last year.
COVID-19 disruption had set back the merger.
The US Federal Trade Commission (FTC) has given the go-ahead for the Pfizer and Mylan merger of Pfizer’s Upjohn generics unit.
Pfizer is planning to split off its generic drug business into a joint venture with Mylan, completing the split in the middle of 2017.
Viatris, the newly formed generic drug firm, will be run by Pfizer and Mylan, with 57% of the company controlled by Pfizer and 43% by Mylan.
“Today’s approval represents the final significant milestone towards the creation of Viatris and the realisation of Mylan and Upjohn’s shared vision for the future of healthcare,” said Robert Coury, future Viatris executive chairman and current Mylan executive chairman.
“We’re close to completing the final steps required to complete our acquisition and are excited to unleash the true value of our combined company for shareholders, employees, partners, patients, and consumers around the world. I would like to express my gratitude to the people who have helped make Viatris’ first day possible – the current and future colleagues of Pfizer, as well as the company’s leadership team. November 16,” he concluded.
Before proceeding with the merger, the companies will be required to divest seven products.
Upjohn’s Caduet, which treats high cholesterol and high blood pressure, will be divested to an authorised generic firm Prasco.
Prasco will also receive a portion of the companies’ phenytoin chewable tablets, prazosin HCl capsules, spironolactone HCTZ tablets, gatifloxacin ophthalmic solution and medroxyprogesterone acetate injectable solution.
To ensure there will be no interruption in supply, the FTC said Prasco will continue to manufacture the generics drug it bought out of Upjohn and Mylan’s current suppliers.
Pfizer’s restructuring plan, which was announced in July 2019, is aiming for a stronger innovation-oriented focus, and it will also provide the company with additional capital to spend on purchases and licensing, according to the deal.
GlaxoSmithKline sold Pfizer’s veterinary business, baby formula unit, and consumer goods division as part of a deal.