GSK pulls out of US$20b race for Pfizer assets

Signage for GlaxoSmithKline is seen on its offices in London March 30, 2016. — Reuters picSignage for GlaxoSmithKline is seen on its offices in London March 30, 2016. — Reuters picLONDON, March 23 — GlaxoSmithKline has withdrawn from the race to buy Pfizer’s consumer healthcare business, the British drugs company said today, endangering an auction for an asset some said could fetch as much as US$20 billion (RM78 billion).

GSK was seen as the front runner to buy the assets, which include Advil painkillers and Centrum vitamins, after main rival Reckitt Benckiser quit the race yesterday.

“While we will continue to review opportunities that may accelerate our strategy, they must meet our criteria for returns and not compromise our priorities for capital allocation,” Chief Executive Emma Walmsley said in a brief statement.

GSK shares jumped 4 per cent to £13.23 at 0809 GMT.



A Pfizer representative was not immediately available to comment. — Reuters

Source: The Malay Mail Online





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