logo
Share SHARE
FONT-SIZE Plus   Neg

GlaxoSmithKline Lifts Stake In Theravance With $213 Mln Investment - Quick Facts

Biopharmaceutical company Theravance, Inc. (THRX) on Monday said it has entered into a stock purchase agreement, under which its drug development partner GlaxoSmithKline Plc (GSK, GSK.L) agreed to acquire 10 million of its shares at a price of $21.2887 per share. The total investment for the acquisition would be $212.89 million.

Following the acquisition, British drug giant GSK would own around 25.81 million shares of Theravance common stock, which would increase GSK's ownership to approximately 26.8 percent from about 18.3 percent of Theravance capital.

The company noted that the price per share was determined based upon a 7.5 percent premium to the volume-weighted average price per share of Theravance stock over the five-day period ending March 30, which was $19.8034.

The deal would complete shortly after the Theravance Annual Meeting, subject to certain closing conditions, including approval of Theravance's stockholders.

GSK expects to continue to account for its total stake in Theravance as an investment held at fair value, due to the existing governance agreement which places limitations on GSK's voting rights.

by RTT Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Quick Facts

Editors Pick
The Justice Department has initiated a probe to find out if airlines are colluding to limit seating capacity in order to benefit from higher airfares. Saudi Prince Alwaleed Bin Talal Bin Abdulaziz Alsaud has pledged to give away his entire wealth amounting to $32 billion for charity. He said the fund will be utilized for cultural understanding, develop communities, empower women, enable youth, provide vital disaster relief and create a more tolerant and accepting world. Toyota accepted the resignation of its Chief Communications Officer Julie Hamp, following her arrest in Japan for allegedly mailing banned painkillers to her address in Japan from U.S.
comments powered by Disqus
Follow RTT