GlaxoSmithKline announced today that it will spend $210 million to purchase Bristol-Myers Squibb's portfolio of drugs in Egypt, as well as the BMS plant near Cairo. GSK will acquire 20 older medications and gain a market share of 9 percent, making it the leading pharmaceutical company in Egypt. The medications, which had a combined total of $48.5 million in sales last year, include Duricef (antibiotic); Capozide and Capoten (ACE inhibitors) and Theragran-H (iron supplement).
"This acquisition is an important step forward in GSK's strategy to accelerate sales growth in emerging markets. It will enable us to build and diversify our existing branded pharmaceuticals portfolio and signals our strong commitment to provide quality medicines to patients in Egypt and other countries in the Middle East and North Africa region, " Abbas Hussain, President of GSK's Emerging Markets, said in a statement.
The move is indicative of GSK's strategic shift since a major change in leadership last spring that emphasizes growth in emerging markets in the face of America's economic challenges. The company also solidified a deal with Aspen Pharmacare Holdings out of South Africa in July.
GSK expects the acquisition to close by month end.
- check out the GlaxoSmithKline release