Richard ReedBritish pharma group GlaxoSmithKline (GSK) has confirmed it may buy US drug giant Pfizer’s consumer business.
GSK has also been linked to a possible acquisition of German drug-maker Merck.
Answering questions at the release of GSK’s third-quarter results yesterday, CEO Emma Walmsley admitted the possible sale of Pfizer’s $14bn consumer division was on the company’s radar.
GSK’s CEO Emma Walmsley confirmed the firm is looking at Pfizer’s consumer division Photo: GSK'Looking at it'
“We are a world leader in consumer healthcare and have a demonstrated track record of successful integration, so you would expect us to look at any assets that complement our portfolio from a power brand or geographic footprint point of view,” she said.
“We would be looking at it but they only announced the process last week, so it is a little premature and it is not even confirmed for sale, to discuss in any detail if and how.
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Shareholder value
“We would, in all cases, be very focused on driving shareholder value. That is a conversation we would be having with our partners in the joint venture. One option is that we could have a structure deal but there are other options as well.”
In addition to any possible Pfizer deal, GSK will have the option of buying out its consumer health joint-venture partner Novartis next March.
Leading shareholders told The Sunday Times earlier this year that GSK was preparing an £8bn ($10.3bn) offer for its partner’s 36.5% share.
