In this file photo dated July 24, 2013, a security guard walks in front of the GlaxoSmithKline building in Shanghai, China. (EUGENE HOSHIKO / AP PHOTO)
LONDON – British drugmaker GSK spun off its consumer health business on Monday in the biggest listing in Europe for more than a decade.
After close of trading on Monday, GSK will consolidate its share price, returning it to roughly the same as before the demerger
The new company, Haleon, becomes the world’s biggest standalone consumer health business, home to brands including Sensodyne toothpaste and Advil painkillers.
GSK, meanwhile, will become New GSK, focused solely on vaccines and prescription drugs. The new business has been buoyed by recent clinical trial successes, including its potential blockbuster RSV vaccine, and a cash boost from the consumer health spin off.
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After close of trading on Monday, GSK will consolidate its share price, returning it to roughly the same as before the demerger. That will ensure the company’s earnings per share and share price can be confirmed with previous periods, it has said.
The ratio for the GSK share consolidation could not be fixed at this time as it would depend on fluctuations in the volume and price of the GSK shares during trading on Monday, the company said early on Monday.