Pfizer enters merger agreement with Wyeth

Pfizer has entered into a merger agreement with Wyeth, it has emerged.

The $68 billion (47.8 billion pounds) deal will see the latter company acquired in a transaction valued at $50.19 per share.

As a result of the agreement, Pfizer said it expected no drug will account for more than ten per cent of the combined organisation’s revenue in 2012.

Jeffrey Kindler, Pfizer’s chairman and chief executive officer, noted the deal “provides a powerful opportunity” to transform the industry.

The new organisation’s “geographic presence in most of the world’s developed and developing countries will be unrivalled”, he continued

Chairman, president and chief executive officer of Wyeth Bernard Poussot added the merger “will accelerate our pursuit of innovative new medicines to meet critical unmet patient needs”.

Based in New York, US, Pfizer’s revenues in 2007 were $48.4 billion.

Wyeth was founded in 1926, operates in over 100 countries and employs 47,500 people.