Merck Seen Unlocking $13 Billion With Breakup: Real M&A

Merck & Co., the second-biggest U.S. drugmaker, may be coming around to the idea of separating its businesses after the breakup of larger rival Pfizer Inc. boosted shareholder value by $50 billion.

Merck Chairman and Chief Executive Officer Ken Frazier said last week that he’s evaluating whether the animal-health unit and consumer products would be better off outside the $134 billion company. Slimming down to focus on human medicines would follow in the footsteps of Pfizer, which spun off its animal-health unit and sold its baby formula business. Novartis AG also has identified its animal-health division as a top candidate to sell, Bloomberg News reported yesterday.