GSK to focus on “priority brands”

GlaxoSmithKline (GSK) has named 19 brands it plans to sell off in a bid to focus on a number of “priority brands” in its consumer healthcare business, which include Sensodyne, Panadol and Horlicks.


The sell off is part of GSK strategy to focus on a portfolio of fast-growing priority brands in three priority categories: oral health, wellness/over the counter (OTC) and nutrition.

Controversial weight management drug Alli, sleep remedy Nytol and vitamin supplement Abtei are among the brands GSK is selling.

GSK says the brands have “strong heritage and good prospects” but admits that it has lacked the critical mass necessary to maximise their potential.

The brands account for 10% (£500m) of the turnover of GSK’s healthcare division and sales of around £5m annually.

The company hope to divest the 19 over the counter medicine brands by the end of this year.

GSK announced its intention to divest non-core assets at its fourth quarter results in February.

Andrew Witty, GSK CEO, says “It is important that we focus this business around product categories, brands and markets where we have most depth and competitive advantage, with the best prospects for strong growth. This divestment is also an example of our commitment to focus on realising value and enhancing returns to shareholders.”

Brands GSK will sell off

Abtei, vitamins, minerals and supplements
Alli, weight management
Beano, gastro-intestinal
BC, analgesic
Beconase, respiratory
Debrox, ear wax cleanser
Dequadin, cough/cold
Ecotrin, analgesics
FiberChoice, dietary supplement
Goody’s, analgesics
Granufink, urological
Lactacyd, feminine hygiene
Libenar, respiratory
Nytol, sleep aid
Phillips MOM, gastro-intestinal
Solpadeine, analgesics
Tagamet/Stomedine, gastro-intestinal
Valda, cough/cold supplement
Zantac OTC, gastro-intestinal

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