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GSK’s £45billion Panadol and Haleon, maker of Sensodyne, in talks to shut down banks | business news

The £45bn company, which will emerge from the spin-off of GlaxoSmithKline’s (GSK) consumer goods arm, is in talks to hire a roster of investment bankers in one of the most prestigious city pitches of the year.

Sky News has learned that Haleon, the new name for the maker of Panadol, Sensodyne and a host of other prominent healthcare brands, has called a beauty parade of banks to appoint its first corporate brokers and financial advisors.

The mandate gives bankers the opportunity to advise a company that will become one of the largest listed companies in the UK, with a market capitalization that will place it in the top 20% of the FTSE 100 Index.

GSK’s decision to spin off its consumer products division comes after years of shareholder unrest over the pharmaceutical giant’s financial performance, with the split expected to take effect officially in July.

Earlier this year, GSK turned down a £50bn bid from Unilever for its consumer healthcare division – a bid that sparked a crisis in the potential buyer’s boardroom.

Private equity firms were also named as potential buyers of Haleon in one of the largest debt-fueled buyouts in history, but no offer materialized.

Haleon’s listing will be the biggest entry on the London Stock Exchange in at least a decade, with GSK signaling it plans to press ahead with the move despite market volatility exacerbated by the war in Ukraine.

A minority stake in what will become Haleon is owned by Pfizer, the American drug giant.

The new company is to be led by Sir Dave Lewis, former CEO of Tesco.

GSK and Haleon declined to comment.

GSK’s £45billion Panadol and Haleon, maker of Sensodyne, in talks to shut down banks | business news

Source link GSK’s £45billion Panadol and Haleon, maker of Sensodyne, in talks to shut down banks | business news

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