Hikma eyes GSK units for acquisition

Responding to a disclosure made today to the Egyptian Exchange by GlaxoSmithKline SAE (GSK: SAE), the listed Egyptian subsidiary within the GlaxoSmithKline (LSE: GSK) group of companies, London-listed Hikma Pharmaceuticals (LSE: HIK) confirmed it is in talks with the UK pharma major.

Hikma says it has entered into a non-binding term sheet with GSK for the purposes of potentially acquiring GSK's interests in certain entities that conduct, and certain assets comprising, GSK's pharmaceutical and consumer commercialization and manufacturing business in Egypt and GSK's pharmaceutical business in Tunisia.

In addition and subject to receipt of GSK SAE's board consent, Hikma announced that it expects to conduct a due diligence exercise, the results of which will form the basis for further discussions with GSK in connection with the proposed transaction.