Shares of Viatris Inc.
were down 0.2% in premarket trading on Friday after the company said it plans to close or divest up to 15 manufacturing sites and may cut up to 9,000 jobs, or 20% of its workforce, as part of a restructuring plan. Viatris is the name of the company formed a year ago by the merger of Mylan and Upjohn, the generics business previously owned by Pfizer Inc.
Viatris said it expects the restructuring plan to reduce costs by $1 billion by 2025. This includes shuttering plants in Morgantown, West Virginia; Baldoyle, Ireland; and Caguas, Puerto Rico, as well as closing two manufacturing sites in India. Viatris expects a pre-tax charge between $500 million and $600 as a result of the plant closures, though it said it anticipates savings between $250 million and $300 million as a result. Shares of Viatris are down 12.0% so far this year, while the S&P 500
is up 13.5%.