LONDON--Pharmaceutical giant GlaxoSmithKline PLC (GSK.LN) and GlaxoSmithKline Consumer Nigeria PLC (GLAXOSMITH.LA) said Monday they have agreed to withdraw the scheme of arrangement for GSK to increase its ownership in GSK Nigeria to 75% so they can consider amendments to the proposal for GSK to increase its indirect ownership in GSK Nigeria.

MAIN FACTS:

-GSK and GSK Nigeria have agreed to consult shareholders and the Securities and Exchange Commission about the proposal, including whether it should be implemented by way of a tender offer.

-There can be no assurance that the proposal will proceed by way of a tender offer or otherwise.

-GSK and GSK Nigeria have started work towards the formalization of updated long term arrangements that would allow GSK Nigeria to continue to distribute the global Lucozade and Ribena brands in Nigeria and certain countries in West Africa.

-A general meeting of shareholders of GSK Nigeria convened for July 23 to consider the proposed scheme of arrangement will therefore be held and adjourned indefinitely.

-GSK shares in London at 1040 GMT down 21 pence, or 1.25%, at 1693 pence valuing the company at 84.2 billion pounds.

-Write to Ian Walker at ian.walker@dowjones.com

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