Glaxo Gets Offer for Heart Drugs With Declining Sales
GlaxoSmithKline Plc (GSK) said Aspen Pharmacare Holdings Ltd. (APN) made an offer for branded heart medicines Arixtra and Fraxiparine and a related manufacturing site as it seeks to sell older medicines with declining sales.
The products generated about 420 million pounds ($656 million) in global revenue in 2012 compared with 510 million pounds the previous year, Simon Steel, a spokesman for London-based Glaxo, said by phone today. The sale excludes rights to the products in China, India and Pakistan, Glaxo said in a statement.
Glaxo owns an 19 percent stake in Aspen, a Johannesburg-based maker and distributor of generic medicines. Aspen shares rose 4.6 percent to 193.55 rand by 2:45 p.m. in Johannesburg.
Arixtra and Fraxiparine are part of a portfolio of more than 50 older products that Glaxo has carved out into a separate unit, according to Steel. The decision follows a similar move by Pfizer Inc. (PFE), which is considering splitting its branded and generic-drug businesses into separate units.
“The proposed transaction is aligned to Glaxo’s strategy of focusing on products with the most growth potential and the delivery of its pipeline,” the company said.
The manufacturing site is located in Notre Dame de Bondeville in northern France, according to Glaxo, which declined to disclose the financial terms of the sale.
To contact the reporter on this story: Makiko Kitamura in London at email@example.com
To contact the editor responsible for this story: Phil Serafino at firstname.lastname@example.org