KALAMAZOO (WKZO) -- Zoetis Inc. the brand new Pfizer Spinoff began trading for the first time yesterday, and the stock immediately jumped up 20% over its opening price on the New York Stock exchange.
Pfizer has been talking about and arranging to spin off the animal health division for nearly a year. It’s the biggest IPO to hit the Exchange since Facebook and of course Kalamazoo is home to the research department of the animal health division. They have about 700 employees here.
Eventhough Pfizer will retain about 80% of the firm, Economist Brian Long says they will become a stand alone firm calling its own shots. He says many of the local employees he has talked to say they will prefer it that way.
Spinning it off is considered better for the community of Kalamazoo than selling it off to another firm, which could close it up and combine it with its own research operation.
As a stand alone firm, not that much changes and there may be the opportunity for growth.