Merge of Pfizer and Allergan totals USD 160 billion - The biggest pharmaceutical company in the world to be set up

(Photo: Ivana Vuksa)

Allergan’s shareholders will get 11,3 shares of new companies for each share while shareholders of Pfizer will get one share of new company for each their share.

Allergan, known for botox production is headquartered in Ireland but it manages majority of operations in New Jersey.

Analysts estimate that with this maneuver Pfizer will succeed in avoiding high corporative taxes through relocating headquarters to Dublin.

Two companies will merge under the name of Allergan PLC but it should be renamed into Pfizer PLC.