The company expects that the spinoff will “be tax neutral for Swiss tax and US federal income tax purposes.” In addition to the usual celebratory quote, the company provided a useful set of links to relevant documents regarding the spinoff
“We welcome today’s decision by our shareholders to approve the Spin-off of our Generics and Biosimilars business, Sandoz, to create an independent company listed on the SIX Swiss Exchange”, said Joerg Reinhardt, Chair of the Board of Directors of Novartis. “With this step, both Sandoz and Novartis will be able to optimize management focus, allocate capital on business priorities, and be in a better position to create sustainable shareholder value in the future.”
- The Novartis Shareholder Information Brochure for the Sandoz Spin-off can be accessed here: [General Meetings | novartis]
- The Sandoz Listing Prospectus can be accessed here: [www.sandoz.com/prospectus]
- Click here [www.sandoz.com/sandoz-spin] to access the supplement to the Listing Prospectus and other related documents.
- For a detailed listing of the resolution presented at the 2023 Extraordinary General Meeting, please visit: [General Meetings | novartis]
And the requisite description of Sandoz:
Sandoz, a Novartis division, is a global leader in generic pharmaceuticals and biosimilars. Our purpose is to pioneer access for patients by developing and commercializing novel, affordable approaches that address unmet medical needs. Our vision is to be the world’s leading and most valued generics company. Our broad portfolio of high-quality medicines covers major therapeutic areas.
The rapidly changing generic drug business in the United States, where large new entrants have been focused on driving cost down creates both opportunity and risk for the newly independent Sandoz. It, indeed, may be easier to navigate as an independent business untethered from Novartis’ branded and patented pharmaceutical business.
Disclosure: The author holds no position in any stock mentioned