Pharma titans merge consumer health businesses

19 December 2018
mergers-acquisitions-big

British drug major GlaxoSmithKline (LSE: GSK) and US giant Pfizer (NYSE: PFE) this morning announced their intention to combine their consumer health businesses into a new world-leading joint venture, with combined sales of approximately £9.8 billion ($12.7 billion).

GSK will have a majority controlling equity interest of 68% and Pfizer will have an equity interest of 32% in the JV, and lays the foundation for the separation of GSK to create two new UK-based global companies focused on pharmaceuticals and vaccines and consumer healthcare. GSK’s shares jumped 7.29% to 1,553.80 pence soon after markets opened this morning.

GSK has already significantly expanded it consumer arm, buying out Switzerland-based Novartis’ (NOVN: VX) share in a consumer JV earlier this year for $13 billion.

This article is accessible to registered users, to continue reading please register for free.  A free trial will give you access to exclusive features, interviews, round-ups and commentary from the sharpest minds in the pharmaceutical and biotechnology space for a week. If you are already a registered user please login. If your trial has come to an end, you can subscribe here.

Login to your account

Become a subscriber

 

£820

Or £77 per month

Subscribe Now
  • Unfettered access to industry-leading news, commentary and analysis in pharma and biotech.
  • Updates from clinical trials, conferences, M&A, licensing, financing, regulation, patents & legal, executive appointments, commercial strategy and financial results.
  • Daily roundup of key events in pharma and biotech.
  • Monthly in-depth briefings on Boardroom appointments and M&A news.
  • Choose from a cost-effective annual package or a flexible monthly subscription
The Pharma Letter is an extremely useful and valuable Life Sciences service that brings together a daily update on performance people and products. It’s part of the key information for keeping me informed

Chairman, Sanofi Aventis UK

Companies featured in this story

More ones to watch >


Today's issue

Company Spotlight





More Features in Pharmaceutical