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Alcon files initial Form 20-F registration statement with SEC for proposed spinoff

Posted on November 13, 2018



Novartis today announced that Alcon has filed an initial Form 20-F registration statement with the US Securities and Exchange Commission (SEC) in relation to the previously-announced intention of Novartis to spin off its eye care division as an independent, publicly-traded company. 

An application will be made to list the shares in Alcon on the SIX Swiss Exchange (SIX) and the New York Stock Exchange (NYSE) under the ticker symbol "ALC".

The initial Form 20-F outlines plans for a tax neutral 100% spinoff of Alcon and includes a detailed overview of its business, strategy, financials, competitive strengths and certain risk factors relating to Alcon's business and the spinoff. Alcon leadership will focus on these, among other topics, at Capital Markets Days for investors and analysts in New York on November 27, 2018 and in London on December 4, 2018.

Earlier this year, Novartis said that the planned spinoff would better position both Novartis and Alcon to capitalize on significant growth opportunities and to focus resources on their respective businesses and strategic priorities.

Vas Narasimhan M.D., CEO of Novartis, said: "As we progress towards the spinoff we are confident in the potential of Novartis and Alcon as separate companies to increase shareholder value. The transaction is expected to support our transformation to become a more focused innovative medicines company. For Alcon, it means more strategic focus and flexibility to pursue compelling growth opportunities in eye care devices, where it has the strongest portfolio and unmatched ability to serve patients worldwide."

David Endicott, CEO of Alcon, said: "This important milestone shows the planned spinoff of Alcon is firmly on track. We are closing in on a unique opportunity to debut as the world leader in the large, attractive and growing eye care devices sector. Our leadership, and the entire Alcon team, is excited and motivated by the prospect of creating a new company poised to deliver innovation that can truly help patients see better. We look forward to creating a business with sustainable growth for our shareholders based on important new products for our customers and their patients."

Completion of the planned spinoff is subject to general market conditions, receipt of necessary authorizations, tax rulings and opinions, final endorsement by the Board of Directors of Novartis and shareholder approval at the 2019 Novartis annual shareholder meeting. If approvals are secured and conditions are met, the spinoff is expected to be completed in the first half of 2019.