Zoetis, Inc. history, profile and corporate video
Zoetis, Inc. is engaged in the discovery, development, manufacture and commercialization of animal health medicines and vaccines, with a focus on both livestock and companion animals. The company manages its operations in four geographic regional segments: the United States, Europe/Africa/Middle East, Canada/Latin America and Asia/Pacific. Within each of these regions, it offers a diversified product portfolio, including vaccines, parasiticides, anti-infectives, medicated feed additives and other pharmaceuticals, for both livestock and companion animal customers. The company’s origin dates back to Jan 1, 1952, when it was established as a division of Pfizer, Inc. Zoetis was founded in July 2012 and is headquartered in New York, NY.“
1950s to 2000s
In the 1950s, Pfizer began research on several drugs including Oxytetracycline. John McKeen, a chemical engineer with Pfizer products, discovered its effective use in livestock. In 1952, the Pfizer Agriculture Division opened a 732 acre research and development facility in Terre Haute, Indiana called Vigo. By 1988 the division was renamed Pfizer Animal Health.
The acquisition of GlaxoSmithKline’s Norden Laboratories in 1995 boosted Pfizer’s animal health division into small animal care including domestic pets. Secondary research and development centres were opened in Kalamazoo, Michigan in 2003. In the same year, Pfizer acquired Pharmacia Corporation for US$ 60 billion in stock options. Between 2007 and 2011 the company acquired Embrex Inc, Catapult Genetics, Bovigen, Wyeth, Fort Dodge Animal Health, Vetnex Animal Health Ltd, Synbiotics Corporation, Microtek, King Pharmaceuticals, and Alpharma. These acquisitions greatly increased Pfizer’s market, range of products, countries it operated in, and resources.
2010s to present
Plans to break away Pfizer Animal Health into a separate company were officially announced in 2012. The name chosen, Zoetis, roughly translates from the derived Latin zoological word zoetic, meaning ‘pertaining to life’.
In 2011, Zoetis Inc.’s revenues exceeded $4.2 billion and $4.34 billion in 2012. The animal health industry worldwide is an estimated US$22 billion dollar industry.
Records show that Pfizer officially filled for registration of a Class A stock with the U.S. Securities and Exchange Commission on August 10, 2012. Zoetis’ IPO on February 1, 2013 sold 86.1 million shares for US$ 2.2 billion. Shares sharply rose 19% by the end of the trading day to $35.01 a share, up from $26. At the time, it was the largest IPO from a U.S. company since Facebook’s $16 billion IPO on May 18, 2012. Pfizer retained 414 million Class B shares giving it an 83% controlling stake in the firm. Stock investors were attracted to the steep profit margin in proportion to revenue and consumer confidence in potential future growth of the subsidiary. The offering’s leadunderwriters were JPMorgan Chase, Bank of America Merrill Lynch and Morgan Stanley. Most of the money raised through the IPO was used to pay off existing Pfizer debt.
On 22 May 2013, The Wall Street Journal reported that Pfizer plans to sell its majority stake in the company.According to the report, shareholders will have the option to swap their Pfizer shares for Zoetis shares. The sell off of Zoetis is consistent with Pfizer’s recent decision to shed other non-pharmaceuticals subsidiaries in an effort to save costs, raise capital, and pay off debt. The company has announced that JPMorgan Chase, Bank of America Merrill Lynch, Goldman Sachs & Co., and Morgan Stanley will be the lead underwriters.”
*Information from Forbes.com and Wikipedia.org
**Video published on YouTube by “ZoetisInc“