Swiss-based Ciba-Geigy has announced that it is planning the sale of its weighing equipment unit Mettler Toledo, through a public share offering in 1996. Analysts predict that the divestment could bri…
Swiss-based Ciba-Geigy has announced that it is planning the sale of its weighing equipment unit Mettler Toledo, through a public share offering in 1996. Analysts predict that the divestment could bring US$ 879 million to Ciba-Geigy. However, according to Ciba“s chief financial officer Rolf Meyer, Ciba-Geigy will probably start by selling a 75% stake in Mettler Toledo and retaining a 25% stake for another two or three years. The proposed sale is a result of Ciba-Geigy“s attempts to focus on health care, agriculture and industry and is indicative of the drug industry“s consolidation trend. Analysts predict that Ciba-Geigy will have to trim its operations even further in order to reach its goal of being in the top five-ranked pharmaceutical companies in the world by the end of the 1990s.