Merck: Spinoff Organon Expected To Drive Sustainable Growth

(RTTNews) - Drug major Merck (MRK) announced Monday that its spinoff Organon is expected to drive sustainable growth and shareholder value as a standalone company focused on women's health.

The initial portfolio of Organon, which will be launched on June 3 as a new company, is expected to generate low to mid-single organic revenue growth off of a 2021 base. At launch, Organon's portfolio will consist of more than 60 medicines and products across its three core franchises: Women's Health, Biosimilars and Established Brands.

Merck is hosting Organon Investor Day today, detailing plans with solid growth opportunities and the ability to make an impact in women's health.

Rob Davis, president, Merck, said, "The spinoff of Organon will help Merck become a leaner, more focused and agile company with stronger growth, and will enable significant operating efficiencies."

Organon is expected to have a global footprint with significant scale and geographic reach, and approximately 10,000 employees with headquarters located in Jersey City, New Jersey.