* GSK aims to realise some value from 4-year investment
* Plans to sell one-third of holding, keep 13 pct stake
LONDON Nov 19 GlaxoSmithKline said on
Tuesday it planned to reduce its investment in South African
drugmaker Aspen Pharmacare by one third, although it
would retain a board seat and a significant shareholding.
The sale of up to 28.2 million shares could realise some
7.54 billion rand ($741 million), based on current market
Britain's biggest drugmaker intends to offload around 6
percent of Aspen's issued share capital through a placing with
institutional investors, leaving it with a stake of
approximately 13 percent.
It first bought into in Aspen in 2009, since when Africa's
biggest maker of generic drugs has expanded substantially
through a string of deals.
"GSK has a long and successful partnership with Aspen - and
our investment in the company has grown in value significantly
over time," GSK's head of strategy David Redfern said in a
"Having assessed this investment we have now decided to
realise some of this value without altering the basis of the
partnership. We remain committed to working closely with Aspen
as shown by our remaining stake in the company and our board
GSK, which said it would use the money for general corporate
purposes, has undertaken not to dispose of any further shares in
Aspen for a period of six months following the sale.
Citigroup Global Markets and UBS will act as joint
bookrunners for the share placing. GSK said the net profit on
the disposal would not be included in core operating profit and
core earnings per share in 2013.