ARNHEM, 16/08/06 - Akzo Nobel expects to float a maximum of 30 percent of its pharmaceuticals subsidiary Organon Biosciences on the bourse. The launch will take place at the beginning of 2007 at latest, the chemicals and pharmaceuticals concern announced yesterday.

Akzo Nobel announced plans at the beginning of the year to split off the pharmaceuticals arm from its coatings and chemicals activities. The Arnhem-based concern also indicated that Organon BioSciences would be launched on the bourse in phases. The first phase will involve a minority stake of 20 to 30 percent.

Akzo Nobel expects to complete the full split-off in the next two to three years. Analysts estimate the total market valuation of Organon at a maximum of 10 billion euros.

Success depends among other factors on the successful development of the drug Asenapine, a remedy for schizophrenia and manic depression. This is a potential cash cow, with peak sales put at over 1 billion euros a year. Akzo Nobel hopes to present the remedy to the US Food and Drugs Administration (FDA) at the beginning of next year.

Akzo Nobel also announced yesterday that the central works council (COR) has approved the plans for Organon's split-off. Shareholders still have to give their approval, and Akzo Nobel is holding an extraordinary shareholders meeting for this on 7 September.