LONDON May 2 JP Morgan and Greenhill
have been appointed to advise GlaxoSmithKline on
the sale of its soft drinks brands Lucozade and Ribena, which
analysts believe will fetch more than 1 billion pounds ($1.6
A spokesman for Britain's biggest drugmaker said on Thursday
the two firms had been selected following keen interest from
The sale of Lucozade and Ribena - which are big sellers in
Britain but lack global reach - is expected to attract interest
from drinks companies and private equity houses.
Japan's Suntory Holdings has been tipped as a
possible buyer, along with private equity firms such as
Blackstone, BC Partners, PAI, Lion Capital, Bain Capital,
CVC Capital Partners and KKR. All have declined to
Lucozade and Ribena together bring in nearly 600 million
pounds a year.
Assuming potential buyers are prepared to pay two times
sales, that would point to a valuation of some 1.2 billion
pounds. Analysts at Deutsche Bank, however, believe the two
brands should bring in more than 1.5 billion pounds.
GSK announced its intention to sell the products last week,
following a strategic review of options.