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
Everyone knows that the Federal Reserve will raise interest rates next Wednesday at the conclusion of its two-day policy meeting. After all, Fed speakers have been jawboning a rate hike over the past few weeks. With the markets reacting with eerie calm to Donald Trump's win, policy makers have no... GOP strategist Karl Rove has criticized U.S. President-elect Donald Trump's comments on aircraft maker Boeing Co.'s contract for a new Air Force One plane, saying they were inaccurate and de-stabled the stock of a major company. Air Force One is the official air plane for the U.S. President. Elon Musk's space transport company SpaceX has lost a satellite launch order from one of its customers due to the delay in its rocket launch schedule after one of its rockets exploded in September.
comments powered by Disqus
Follow RTT