This investment is part of a larger animal healthcare business restructuring that the US-based firm is undertaking globally. At the first instance, Pfizer proposes to invest R800 crore in Pfizer Pharma India, incorporated in 1995 as a wholly owned subsidiary of the US parent.
This investment would be routed through PAH India Holding 1 BV Netherlands, one of the two special-purpose vehicles floated by Pfizer US in March 2012 to smoothen the process of animal healthcare restructuring under progress globally. At the second stage, Pfizer Pharma India would infuse R500 crore into Pfizer Animal Health India, a foreign-owned and controlled company in India.
These steps are part of Pfizer USs larger decision to spin off its animal healthcare business so that it can explore strategic alternatives for its animal health business based on a business portfolio review to determine the optimal mix of business for maximizing shareholder value. Last month Pfizer CEO Ian Read said, We are on track to creating a standalone animal health company by our previously stated target of July 2013. This new company, valued at roughly $18 billion, would be known as Zoetis.