PITTSBURGH, Pa. — Mylan officials say more than 99 percent of shareholders have voted to approve the proposed merger of pharmaceutical giants Mylan and Upjohn, a division of Pfizer.
“The near unanimous support we have received from our shareholders with 99.6% of shares voted in favor of this transaction truly validates the extensive analysis and time invested by the board’s strategic review committee, and the full board, in identifying the right opportunity to unlock the true value of our one-of-a-kind platform as well as accelerate Mylan’s next exciting phase of growth,” Mylan Executive Chairman and Future Viatris Executive Chairman Robert J. Coury said in a statement released late Tuesday morning. “The overwhelming endorsement we received from shareholders only further bolsters our confidence in the value that we believe the new company will deliver, and we are very excited to soon create Viatris, expected in the fourth quarter of this year.”
Coury said Viatris will be launched with a new business model, focused on total shareholder return.
“With an enhanced balance sheet and financial flexibility, we will be able to implement a more shareholder-friendly capital allocation policy starting with a dividend of at least 25 percent of our free cash flow following Viatris’ first full quarter after close. We also look forward to introducing Viatris’ new, unique GLOBAL HEALTHCARE GATEWAY™, which will offer partners ready access to more markets and patients worldwide through the company’s unmatched global infrastructure and expertise, making Viatris a true Partner of Choice™.”
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Mylan, which operates a large plant in Morgantown, previously said the new name, Viatris, “embodies the new company’s goal of providing a path to its core goals: expanding access to medicines, leading by innovating to meet patient needs, and being a trusted partner for the healthcare community worldwide.”
The merger was first announced last summer. The new company to be incorporated in Delaware with global centers in Pittsburgh, Pennsylvania; Shanghai, China and Hyderabad, India.
In all, there will be 51 manufacturing sites worldwide. A refinancing of Mylan’s $13 billion in long-term debt is one part of this merger.
Mylan will file the shareholders vote with the U.S. Securities and Exchange Commission.