Mohammed Shosanya
GlaxoSmithKline Consumer Nigeria Plc (GSK),Thursday told the management of the Nigeria Exchange Limited (NGX) and the investing public of its intent to clise operations in the country.
The company conveyed this in a statement issued and filed with the Nigerian Exchange Limited and signed by the Company Secretary, Frederick Ichekwai.
The planned closure is necessitated by the parent company, GSK Plc UK, strategic intent to cease commercialization of its prescription medicines and vaccines in Nigeria.
Besides,another of its partners, Haleon Group has separately informed the Board of its intent to terminate its distribution agreement in the coming months.
The statement added:“In our published Q2 results we disclosed that the GSK UK Group has informed GlaxoSmithKline Consumer Nigeria PLC of its strategic intent to cease commercialization of its prescription medicines and vaccines in Nigeria through the GSK local operating companies and transition to a third-party direct distribution model for its pharmaceutical products.”
The company promised to treat its employees fairly in compliance with all applicable legal and consultation requirements.
The statement said: “The Board is conscious that shareholders will have many questions; we have been working assiduously with our professional advisors to agree on the next steps and we will be shortly submitting to the Securities and Exchange Commission, a draft Scheme of Arrangement which may, if approved, see shareholders other than GSK UK, receive an accelerated cash distribution and return of capital.”