Zoetis, formerly the animal health business unit of Pfizer Inc., announced January 31 the pricing of its initial public offering of 86,100,000 shares of its Class A common stock at $26 per share. The shares are began trading Feb. 1 on the New York Stock Exchange under the symbol “ZTS.”
Zoetis will not receive any of the proceeds of the offering. Following the completion of the initial public offering, Pfizer will own 100% of the outstanding Class B common stock of Zoetis and will retain an approximately 83% ownership of Zoetis.
The underwriters also have an option to purchase up to an additional 12,915,000 shares of Class A common stock. Zoetis will not receive any of the proceeds from any shares sold pursuant to this option. If the underwriters exercise this option in full, Pfizer is expected to retain an approximately 80% ownership of Zoetis.
J.P. Morgan, BofA Merrill Lynch and Morgan Stanley served as joint lead book-running managers for the offering. Barclays, Citigroup, Credit Suisse, Deutsche Bank Securities, Goldman, Sachs & Co., Guggenheim Securities and Jefferies served as book-running managers for the offering. BNP PARIBAS, HSBC, Loop Capital Markets, RBC Capital Markets, The Williams Capital Group, L.P. and UBS Investment Bank served as senior co-managers for the offering. Lebenthal Capital Markets, Piper Jaffray and Ramirez & Co., Inc. served as co-managers for the offering.
Zoetis (zo-EH-tis) is the world's leading animal health company, dedicated to supporting its customers and their businesses. Building on a 60-year history as the animal health business of Pfizer, Zoetis discovers, develops, manufactures and markets veterinary vaccines and medicines, with a focus on both farm and companion animals. The company generated annual revenue of $4.2 billion in fiscal 2011. Zoetis has more than 9,500 employees and a local presence in approximately 70 countries, including 29 manufacturing facilities in 11 countries. Its products serve veterinarians, livestock producers and people who raise and care for farm and companion animals in 120 countries.