The deal, announced on Monday, marks a further step by drugmaker GSK to streamline its business and follows a competitive auction in which Unilever saw off rival Nestle, as well as earlier interest from Coca-Cola.
The transaction covers GSK's health food and drinks portfolio in India, Bangladesh and 20 other predominantly Asian markets. The main asset being sold is GSK's 72.5 percent stake in Indian-listed GlaxoSmithKline Consumer Healthcare.
GSK said its net proceeds from the deal, after tax and hedging costs, were expected to be around 2.4 billion pounds ($3.1 billion).
Following the closure of the deal, GSK will own approximately 5.7 percent of HUL, which the British drugmaker intends to sell down in tranches.
The price being paid for the GSK business, which includes the popular malt-based drinks Horlicks and Boost, is broadly in line with expectations. People familiar with the process had told Reuters it was likely to be for less than $4 billion.
GSK's decision to sell the business follows its $13 billion acquisition of Novartis's stake in the two groups' consumer health joint venture earlier this year. GSK said at the time that selling Horlicks could support the funding of the Novartis buyout.
($1 = 0.8805 euros)
($1 = 0.7814 pounds)
(Reporting by Ben Hirschler and Noor Zainab Hussain in Bengaluru; Editing by Sai Sachin Ravikumar/Keith Weir)
(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)