Pharmacia Corporation Emerges as a Global Pharmaceutical Giant

Strategic Insights -

Pharmacia Corporation, formed through the merger of Monsanto Company and Pharmacia & Upjohn, has officially begun trading as a public company on the New York Stock Exchange and the Stockholm Stock Exchange. The company's Chief Executive Officer, Fred Hassan, emphasized the significance of this new era, highlighting the company's strengths, including a growing product portfolio, a strong patent position, a global sales force, and a substantial research and development budget of over $2 billion. Hassan also outlined the company's financial targets, aiming for dynamic top-line growth and 20% annual compounded earnings per share growth over the next three years.

Key Takeaways:

  • Pharmacia Corporation has listed on the New York Stock Exchange and the Stockholm Stock Exchange under the stock ticker symbol "PHA".
  • The company has a global sales force of 10,000 representatives and an annual pharmaceutical R&D budget of more than $2 billion.
  • The company's pharmaceutical business is led by Celebrex, the number one selling prescription arthritis medication, and includes other key brands such as Xalatan, Detrol/Detrusitol, Genotropin, and Camptosar.
  • The company's agricultural subsidiary, Monsanto, has a leading global position in seeds, herbicides, and biotechnology traits.
  • Up to 19.9% of the agricultural business will be offered in an Initial Public Offering (IPO) at a later date, with the remaining 80.1% retained by the company.
  • The company has appointed several senior executives, including Richard U. DeSchutter, Philip Needleman, and Hendrik A. Verfaillie, who will play key roles in the company's future development.
  • Pharmacia Corporation's corporate and pharmaceutical business headquarters will be based in Peapack, N.J., while the agricultural business headquarters will be based in St. Louis and retain the Monsanto name.

Statistics:

  • The company has a global sales force of 10,000 representatives.
  • The company's annual pharmaceutical R&D budget is over $2 billion.
  • The company's financial targets include sustaining dynamic top-line growth and achieving annual compounded earnings per share growth of 20% over the next three years.
  • The company's agricultural subsidiary, Monsanto, has a leading global position in seeds, herbicides, and biotechnology traits.

Sources:

  • "Pharmacia Corporation Begins Trading Today on New York Stock Exchange and Stockholm Stock Exchange" (PRNewswire, April 3)
  • Interview with Pharmacia Corporation CEO Fred Hassan (PRNewswire, April 3)
  • "Pharmacia Corporation Overview" (Pharmacia Corporation website)
  • "Monsanto Agricultural Subsidiary Overview" (Monsanto website)