Issue of new shares approved to fund purchase while Pharmacia shareholders meet to decide on the bid
Pfizer’s shareholders approved the purchase of Pharmacia with more than 96 % of the votes in favour.
The meeting also approved the issue of new shares to raise the capital required to bring together the two US-based pharma companies. Pfizer will issue up to 1.8 billion ordinary shares to Pharmacia shareholders in the merger. This represents about 23% of the outstanding Pfizer shares based on shares and options outstanding for both companies on 30th June 2002.
Completion of the acquisition was conditional on approval of both proposals.
Referring to the acquistion of Pharmacia as a "compelling strategic combination," Hank McKinnell, Chairman and CEO looked towards gaining approval to "close the transaction in the first quarter of next year" while planning for integrating the two companies was on schedule.
Today, Monday 9th December, shareholders of Pharmacia will have to decide on the takeover at their meeting in Wilmington, Delaware.
Keywords : Pfizer Pharmacia M&A Aquisition Approval Issue of new shares
