Cairo – Mubasher: Glaxo SmithKline (GSK Egypt) said that its majority shareholder, Galxo Group Limited, responded to the letters of Arab Company for Drug Industries & Medical Appliances (ACDIMA) and the Tenth of Ramadan for Pharmaceutical Industries and Diagnostic Reagents (Rameda) expressing their interest to acquire the shares of the majority shareholder.
Galxo Group Limited is considering the sale of its stake in GSK Egypt as part of a comprehensive sale of the pharma and consumer businesses in Egypt and its pharma business in Tunisia, according to a bourse disclosure on Monday.
As the diligence process and negotiations consume significant resources and time, the majority shareholder decided to focus its efforts and resources on discussing the deal with Hikma Pharmaceuticals in the current time. It is not in a position to negotiate with ACDIMA and Rameda on the potential transaction in the current time.
Earlier, Glaxo Group Limited signed a non-binding term sheet with Hikma Pharmaceuticals Plc for the potential sale of its entire stake of 91.2% in GSK Egypt.
During the first nine months of 2020, GSK Egypt reported net profits of EGP 101.41 million, up from EGP 67.03 million in the corresponding period a year earlier.
