GlaxoSmithKline Plans to Divest Select OTC Brands - Pharmaceutical Technology

Latest Issue
PharmTech

Latest Issue
PharmTech Europe

GlaxoSmithKline Plans to Divest Select OTC Brands


ePT--the Electronic Newsletter of Pharmaceutical Technology

Untitled Document

GlaxoSmithKline (GSK) identified certain over-the-counter (OTC) brands in its consumer healthcare business that the company plans to divest. GSK had announced in February 2011 its intention to divest noncore OTC products as part of a strategy in its consumer healthcare business to focus on fast-growing priority brands and emerging markets.

The products to be divested, which are primarily sold in Europe and the US, had sales in 2010 of approximately £500 million ($812 million) or 10% of GSK’s total consumer healthcare revenue. They include: the analgesics Solpadeine, BC, and Goody’s; the vitamin and supplement product Abtei, the weight-management product Alli; and gastrointestional products Tagamet/Stomedine and Zantac OTC. A list of brands to be divested with annual sales of more than £5 million ($8.1 million) may be found here.

GSK said the products being divested lacked sufficient critical mass in some product categories, and certain other brands lacked focus due to other global priorities. GSK will begin communicating with interested parties during the next several weeks with the aim of divesting the products by late 2011.

Following the divestment, GSK’s consumer healthcare business will focus on three priority categories: oral health, wellness/OTC, and nutrition. On a pro forma basis, the retained business had sales of approximately £4.5 billion ($7.3 billion) in 2010 and grew at a compound annual growth rate of 6% between 2007–2010.

ADVERTISEMENT

blog comments powered by Disqus
LCGC E-mail Newsletters

Subscribe: Click to learn more about the newsletter
| Weekly
| Monthly
|Monthly
| Weekly

Survey
FDASIA was signed into law two years ago. Where has the most progress been made in implementation?
Reducing drug shortages
Breakthrough designations
Protecting the supply chain
Expedited reviews of drug submissions
More stakeholder involvement
Reducing drug shortages
70%
Breakthrough designations
4%
Protecting the supply chain
17%
Expedited reviews of drug submissions
2%
More stakeholder involvement
7%
View Results
Eric Langerr Outsourcing Outlook Eric LangerRelationship-building at Top of Mind for Clients
Cynthia Challener, PhD Ingredients Insider Cynthia ChallenerRisk Reduction Top Driver for Biopharmaceutical Raw Material Development
Jill Wechsler Regulatory Watch Jill Wechsler Changes and Challenges for Generic Drugs
Faiz Kermaini Industry Insider Faiz KermainiNo Signs of a Slowdown in Mergers
Ebola Outbreak Raises Ethical Issues
Better Comms Means a Fitter Future for Pharma, Part 2: Realizing the Benefits of Unified Communications
Better Comms Means a Fitter Future for Pharma, Part 1: Challenges and Changes
Sandoz Wins Biosimilar Filing Race
NIH Translational Research Partnership Yields Promising Therapy
Source: ePT--the Electronic Newsletter of Pharmaceutical Technology,
Click here