Suntory Paid NGN2.3 Billion For GSK’s Bottled Drinks Division

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After several months of finalising the sales of its beverage and bottled drinks division, GSK PLC said sold the unit for a total of NGN2,3 billion to Suntory.

The disclosure was contained in its third quarter result. The company did state whether there are further payments to be made on the deal.

GSK had initially postponed the handing over of the unit when in August, the company notified the Nigerian Stock Excahnge, NSE that it was postponing the sale. The final divestment was announced in September but no details was released on the value of the deal.

However, it must be noted that the value seems very small considering the number of years the company has been making and selling brands under the division. Analysts are of the view that the unit was making losses and its asset quality was being eroded, therefore the company had to sell it off.

Corporate information

GSK PLC

The Company is a public limited liability company incorporated in 1971 and domiciled in Nigeria where its shares are publicly traded. 46.4% of the shares of the Company are held by Setfirst Limited and Smithkline Beecham Limited (both incorporated in the United Kingdom); and 53.6% by Nigerian shareholders.

The ultimate parent and ultimate controlling party is GlaxoSmithkline Plc, United Kingdom (GSK Plc UK). GSK Plc UK controls the Company through Setfirst Limited and Smithkline Beecham Limited.

The registered office of the Company is located at 1 Industrial Avenue, Ilupeju, Lagos. The principal activities of the Group are manufacturing, marketing and distribution of consumer healthcare and pharmaceutical products.

Suntory Beverages

Suntory Beverages is a Japanese brewing and distilling company group. Established in 1899, it is one of the oldest companies in the distribution of alcoholic beverages in Japan, and makes Japanese whisky. Its business has expanded to other fields, and the company now also makes soft drinks and operates sandwich chain.

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