Healthcare company Abbott Laboratories (ABT: Quote) said Wednesday that it has completed the spin off of its research-based pharmaceuticals business into an independent company. The new biopharmaceutical company, named AbbVie, will begin trading independently on the New York Stock Exchange today under the symbol "ABBV".
Abbott said that on November 28, 2012, its board of directors declared a special dividend distribution of all outstanding shares of AbbVie common stock.
On January 1, 2013, Abbott shareholders received one share of AbbVie common stock for every one share of Abbott common stock held by them as of close of business on December 12, 2012.
llinois-based Abbott said in October 2011 that it will separate into two publicly-traded companies, focusing separately on diversified medical products and research-based pharmaceuticals.
AbbVie is a research-based specialty biopharmaceuticals company with a portfolio of medicines, including immunology and virology, and a pipeline of breakthrough therapies. The company's products will include Abbott brands such as Humira, Lupron, Synagis, Kaletra, Creon and Synthroid.
The name "AbbVie" is derived from a combination of Abbott and "vie," which references the Latin root "vi" meaning life.
Miles White, chairman and chief executive officer of Abbott said, "We wish our colleagues at AbbVie continued success as they become part of a new, independent company that is already making a significant difference, focusing on highly specialized, market-leading therapies for some of the world's most difficult-to-treat diseases."
Abbott noted that it has started its 125th year with about $22 billion in revenues generated throughout 150 countries. The company is comprised of four businesses of roughly equal size - diagnostics, medical devices, nutritionals and branded generic pharmaceuticals.
About 30 percent of Abbott's revenue is generated in the U.S., while another 30 percent is generated from Western Europe, Canada, Japan and Australia, and the remaining 40 percent is from the fastest-growing economies, including India, China, Russia and Brazil. Abbott expects its sales in these high-growth markets to reach nearly 50 percent of its total sales by 2015.
In Wednesday's regular session, ABT is trading at $31.90, up $0.56 or 1.79 percent on a volume of 432,330 shares.
ABBV is trading at $34.92, up $0.76 or 2.22 percent on a volume of 175,017 shares.
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by RTT Staff Writer
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