Company anticipates launch of a standalone organization.
In a unanimous decision, Novartis officially announced that its board of directors have endorsed the potential separation of Sandoz with the goal of creating an independent organization as a 100 percent spin-off. Expected to occur towards the end of this year, approval depends on satisfaction of certain conditions, including obtaining the necessary approvals for the listing of the Sandoz shares, no order prohibiting the spin-off and no material adverse change.
According to the company, it intends to have Sandoz placed on the SIX Swiss Exchange, with an American Depositary Receipt (ADR) program in the US.
Reference: Novartis delivers strong sales growth, robust margin expansion and raises guidance. Announces USD 15 billion share buyback and Board endorses Sandoz spin-off. Novartis. July 18, 2023. Accessed July 20, 2023. https://www.novartis.com/news/media-releases/novartis-delivers-strong-sales-growth-robust-margin-expansion-and-raises-guidance-announces-usd-15-billion-share-buyback-and-board-endorses-sandoz-spin-off12