PHARMACIA NOT TO DELIST ABBOTT 

Mumbai, April 20 :    Mumbai, April 20:  US-based Pharmacia Corporation has decided not to delist Abbott Laboratories from stock exchanges even as the former's Indian subsidiary plans to introduce a new product for breast cancer later this year. 'Pharmacia had bought 51.5 per cent equity in Abbott Labs from its US parent at $ 13.5 million in January and the latter acquired 23.6 per cent from the public taking the total to 75.1 per cent but we have no intention to delist the company,' Pharmacia India Private Ltd (PIPL) president and managing director V.S. Sohoni said today. Pharmacia assumed management control of Abbott Labs India and decided to change its name to Pharmacia Healthcare Ltd (PHL) subject to shareholders approval, he said adding, they plan to reverse the downward trend of Abbott. Sohoni said the two entities would function as 'operationally one with co-marketing agreement'. Some of the new products that are set to be launched include Detrusitol to treat overactive bladders, Aromasin (breast cancer), Caverject (erectile dysfunction), Xalacom (glaucoma), Healon 5 (cataract) and Medrol tablets (asthma and allergies). Pharmacia Healthcare will thus offer a portfolio which include successful Abbott brands such as Erythrocin, Pentotha, Vidaylin, Claribid and Surbex T as well as Pharmacia brands, Fragmin, Medrol, Dalacin and Depo Provera. Pharmacia had recently bought 51.5 per cent equity of Abbott India from US-based Abbott for $ 13.5 million. In addition, around 23.6 per cent (which includes 3 per cent from market purchases) of Abbott India equity was bought from the public. It now has a stake of over 75 per cent in the company. As per the understanding reached between the two, some products will be retained by Abbott while few will be marketed by both the companies and produced by Abbott India. Also Abbott will retain some of the employees. However, all brands will be licensed to Abbott India, which will now be renamed as Pharmacia Healthcare Ltd, for 15 years, royalty free and renewable. It may be recalled that Abbott continues to hold a majority stake in its other subsidiary, Knoll Pharma Ltd, which is set to be renamed as Abbott India Ltd. As regards Abbott's existing manufacturing plant at Ankleshwar, Sohoni said that the parent will be investing $ 0.8 million for modernisation and increase its utilisation by manufacturing Pharmacia products locally.