GSK buys full control of consumer unit in Indonesia

Indonesia is one of the rapidly growing markets that drugmakers are trying to tap to boost sales, and GlaxoSmithKline ($GSK) is upping its bet. The U.K.-based drugmaker said today it will buy full control of its consumer health unit there. GSK agreed to pay about £24.6 million ($40 million) to Sarasvati Venture Capital for the 30% share it did not own. GSK said the unit has seen its sales grow to nearly £50 million ($83.7 million) in 2013, up from £16 million ($26.6 million) in 2008. Additionally, the company will sell its Insto eye drops brand to Pharma Healthcare and will sell its manufacturing site at Bogor, Indonesia, to PT Pharma Healthcare for a combined total £7 million ($11.6 million). The Indonesian pharmaceutical market is expected to double in value by 2018 as the Southeast Asian nation begins implementing national health coverage. Other drugmakers like Pfizer ($PFE) have been expanding there. The U.S.-based Pfizer said earlier this month it would spend about $4 million to expand a plant it has in Pasar Rebo, East Jakarta. Release | More