GSK Consumer at record high on open offer by parent at a premium

GlaxoSmithKline Plc made an open offer at price of Rs 3,900 per share to raise its stake in its Indian consumer products arm to 75% from 43.16%.

GlaxoSmithKline Consumer Healthcare has locked in upper circuit of 20% at Rs 3,652 on the BSE, also its record high after its parent company GlaxoSmithKline Plc made an open offer to acquire additional 31.84% stake in the company at price of Rs 3,900 per share.

GlaxoSmithKline Plc plans to raise its stake in its Indian consumer products arm to 75% from 43.16% via an open offer.

“GlaxoSmithKline Pte Ltd along with Horlicks Limited and GlaxoSmithKline plc in their capacity as persons acting in concert propose to acquire 13.38 million equity shares of Rs 10 each representing 31.84% of the total voting share capital of the GlaxoSmithKline Consumer Healthcare at Rs 3,900 per equity share,” HSBC Securities, the manager of the open offer said in a statement on behalf of the company.

A combined around 5,000 shares have changed hands on the counter in opening deals. There are pending buy orders for 260,563 shares on the BSE and NSE.