GlaxoSmithKline plc (LSE:GSK) confirms on January 15, 2022 that it has received three unsolicited, conditional and non-binding proposals from Unilever PLC (LSE:ULVR) to acquire the GSK Consumer Healthcare business. The latest proposal received on 20th December 2021 was for a total acquisition value of £50 billion comprising £41.7 billion in cash and £8.3 billion in Unilever shares. The Consumer Healthcare business is a Joint Venture between GSK and Pfizer Inc. (NYSE:PFE), with GSK holding a majority controlling interest of 68% and Pfizer 32%.

GSK rejected all three proposals made on the basis that they fundamentally undervalued the Consumer Healthcare business and its future prospects. The Board of GSK is strongly focused on maximising value for GSK shareholders and has carefully evaluated each Unilever proposal. In doing so, the Board and its advisers assessed the proposals relative to the financial planning assessments completed to support the proposed demerger of the business in mid-2022, including the sales growth outlook set out below.

The Board of GSK unanimously concluded that the proposals were not in the best interests of GSK shareholders as they fundamentally undervalued the Consumer Healthcare business and its future prospects. The Board of GSK therefore remains focused on executing its proposed demerger of the Consumer Healthcare business, to create a new independent global category-leading consumer company which, subject to approval from shareholders, is on track to be achieved in mid-2022.