Gsk - A Case Study On The Strategy Of “Merger Of Equals” In Ethical Pharmaceuticals

Published: 2002/01/01 Authors: Bernardo Batiz-Lazo

FAQs about Gsk - A Case Study On The Strategy Of “Merger Of Equals” In Ethical Pharmaceuticals Coupon?

Why did GlaxoSmithKline Beecham merge with GSK?

GlaxoSmithKline Beecham (GSK) became the largest pharmaceutical company in the world. GSK became the world’s largest producer of prescription drugs with market share of more than 7%. The merger also facilitated avoidance of increased R&D costs. The merger enhanced the complementary portfolio of the two pharmaceutical companies. ...

Why did Glaxo & Wellcome merge?

Glaxo and Wellcome had merged to create synergies in research and development. The merger of Beecham and SmithKline in the year 1989 sparked a wave of mergers between pharmaceutical mergers in the next decade. Glaxo Wellcome group was formed due to the merger between Glaxo and Burroughs Wellcome & Company. ...

Why did GSK merge with HUL?

Prior to the merger, GSK held 72.5% of stake in GSK India. After considering multiple bids from various companies like Coca-cola, Nestle and Unilever, GSK decided to merge its Indian subsidiary with HUL for a total consideration of Rs. 42,242 Cr. approximately which was equity-based. ...

How did GSK perform during the merger window period?

The cumulative returns for GSK during the 251 days’ merger window period (−10 to 240 days) were 8.93%. Mergers and acquisitions in the pharmaceutical and biotech industries. Organizational economics of health care conference ...

Why did Glaxo Wellcome merge with SmithKline Beecham?

The merger also facilitated avoidance of increased R&D costs. The merger enhanced the complementary portfolio of the two pharmaceutical companies. The combination of Glaxo Wellcome’s respiratory therapeutic segment with SmithKline Beecham’s strength in vaccines and arthritis broadened the portfolio of offerings. ...

How did GlaxoSmithKline become a major pharma company?

All the major pharma companies in the world have grown through mergers and acquisitions. The antecedents of GlaxoSmithKline include Glaxo, Wellcome, SmithKline French, and Beecham. Glaxo and Wellcome had merged to create synergies in research and development. The... ...