The Tenth of Ramadan Company for Pharmaceutical and Diagnostic Industries “Rameda” has announced that it has submitted a non-binding letter of intent to participate in the bids submitted to acquire “GlaxoSmithKline”.
The company stated that the offer came within the framework of Glaxo Group Limited – the main shareholder – offering to sell all of its 91.2% stake in Glaxo Egypt.
Based on the approval of the Board of Directors, Rameda intends to conduct a comprehensive due diligence examination on the legal, commercial, operational, financial and regulatory aspects of the company targeted for its acquisition, which is expected to form the basis for further discussions on the deal.
Rameda affirms its commitment to disclose all relevant developments in the appropriate time.
The company had announced, in early February, that Glaxo Group Limited – the main shareholder – had received an acquisition letter from the Arab Company for Medicinal Industries and Medical Supplies – Acadima Egypt – in which the latter expressed its desire to submit a proposal regarding the possible acquisition of the stake of the main shareholder in GlaxoSmithKline.
It is noteworthy that GlaxoSmithKline announced last January 26 that its main shareholder, Glaxo Group Limited, signed a non-binding basic terms of conditions memorandum with Hikma Pharmaceuticals PLC to sell the first 91% stake in GlaxoSmithKline to Hikma.
It stated that the memorandum includes presenting the wisdom of a compulsory purchase offer on all its shares after fulfilling several conditions, including the completion of the due examination of ignorance in a satisfactory manner, the conclusion of final and binding contracts, and the approval of the regulatory authorities.
The company stated that the letter of the main shareholder included a request to enable Hikma Pharmaceuticals to perform due diligence checks on GlaxoSmithKline.
The memorandum of the non-binding basic conditions stated that the potential acquisition project includes other investments related to consumer health and the pharmaceutical trade in Egypt in addition to the pharmaceutical companies in Tunisia affiliated to the GlaxoSmithKline Group (of which the main shareholder is).
She pointed out that the main shareholder’s letter indicated that the memorandum of the basic conditions does not represent a final agreement between the parties on the price or terms of a possible deal and is a preliminary step in the negotiations.
On January 27, the Board of Directors of GlaxoSmithKline approved, in its meeting held yesterday, to enable Hikma Pharmaceuticals Plc. C and its consultants carry out due diligence examinations for the purpose of its acquisition.
The article “Rameda” enters the race to acquire “GlaxoSmithKline” was written in the Al Borsa newspaper.