GlaxoSmithKline Consumer Nigeria Plc (“GSK Consumer Nigeria Plc”) announced on Friday, 30 September that it had completed the divestment of its drinks business including bottling and distribution to Suntory Beverage & Food Nigeria Limited.
The transaction was originally expected to close on 31 August 2016, but GSK requested for additional time to enable both parties to comply with the terms of the Asset Purchase Agreement entered into on 31st March 2016.
In a statement released by the company, it said: “We announce the completion of the divestment of the GlaxoSmithKline Consumer Nigeria Plc Drinks, bottling and distribution business to Suntory Beverage & Food Nigeria Limited (SBFN). This follows the recent approvals obtained from the shareholders and the Nigerian Securities & Exchange Commission (SEC).
“Following this approval, GSK has transferred ownership of the drinks business in Nigeria to Suntory Beverage & Food Nigeria Ltd effective 1st October 2016.”
With the divestment completed, GSK Consumer Healthcare Company (retained business) will consist of the Consumer Healthcare Wellness, Oral Healthcare and Nutrition categories and Pharmaceutical business – with brands including Sensodyne, Macleans, Panadol, Horlicks, Andrews Liver Salts, Voltaren, Otrivin and CAC 1000.
In January, GSK Consumer Nigeria, manufacturers of Ribena and Lucozade brands received a non-binding offer from Suntory Beverage & Food Limited (SBF), to buy its drinks business consisting of the bottling and distribution of Ribena, Lucozade and part of their Agbara, Ogun State plant.
The company’s board brought the offer to its shareholders for approval, and in July, shareholders of GSK Consumer Nigeria agreed to the sale of its drinks business for N15.7bn (approx $79.2m) so it can focus on its core business of Oral healthcare, Vaccines and Pharmaceuticals.
Suntory is a leading Japanese soft drinks company, ranked third largest in the world, and with a diverse portfolio of premium and unique brands in categories such as mineral water, ready-to-drink (RTD) coffee, RTD tea, carbonates, fruit juices and functional drinks.