Novartis Pharmaceuticals Inc. and Kowa Pharmaceuticals Ltd.
are both up for grabs in a new wave of IPO action that could transform the world of pharmaceuticals.
Novartis is planning to issue $1.3 trillion in stock options and other stock options, including a $500 million convertible note, to raise money to expand its drug development program.
Kowa Pharmaceutical, based in the Netherlands, is also expected to issue convertible notes, worth about $500 billion, that could be used to fund the development of drugs.
Both companies have been battling for years over who should develop their drugs and who should pay for them.
Novartiss has been the largest shareholder in Kowa and has the option to buy another 50 percent.
Nova Pharmaceuticals, a drug company with headquarters in Switzerland, is the largest in the world with about $7.2 billion in sales, according to Bloomberg.
The other big players are Bayer AG, BASF SA, Novartiz, and Wyeth.
Novapro is expected to raise $600 million in the first quarter, according the Wall Street Journal.
It plans to issue a $350 million convertible bond that will pay the company back through 2029.