Pharmaceutical group GlaxoSmithKline has announced that it is putting two of its biggest brands, Lucozade and Ribena, up for sale in a bid to raise as much £766m.
The move follows a strategic review of its operations with reports of ‘immediate interest’ already being registered by investment banks and follows a 35% fall in fourth quarter net profits at the group to £839m.
Both brands boast a long and successful heritage, particularly in Europe where they bring in around £400m a year.
Lucozade was launched in 1927 with Ribena entering the market 10 years later.
GSK chief executive Andrew Witty said: “No decisions have been taken or options ruled out – we could increase investments in certain parts of the world, find a partner or divest the products.”
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Oh dear 2 more iconic British brands will be sold off, probably to foreign buyers. But why? GSK made a profit of £839m not a loss.
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Both brands are made/bottled in a large factory near to me in the Forest of Dean. It is one of the largest employers in the area and I hope that they keep the factory running and that this won't lead to more jobs being sent abroad. But as ED above comments, GSK made a profit of over £800m why would they want to sale? I can only assume it's linked to the fact that though they made a profit it was down for the 4th quarter.
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