GSK Consumer Nigeria Plc, maker of Ribena and Lucozade brands has confirmed that it has received a non-binding offer from Suntory Beverage & Food Limited (SBF) for their beverage business consisting of the bottling and distribution of Ribena, Lucozade and part of their Agbara manufacturing plant.
The Board, it was gathered is considering the offer and expects to make a decision after the appointment of its professional advisers and negotiation with SBF. Any potential sale would be subject to shareholder and regulatory approvals and until it completes, the drinks business would belong to GSK Nigeria and “business as usual” would be maintained.
It was gathered that the board has granted SBF access to certain due diligence information. However, there can be no assurance that SBF will make a binding offer following completion of their due diligence review, or whether the terms of any such offer will be acceptable.
If the transaction is agreed and shareholders and regulators were to approve the sale, the retained GSK Consumer Healthcare Nigeria business would comprise of Oral healthcare, Nutrition and Pharmaceutical/Vaccines businesses, and would remain listed on the Nigerian Stock Exchange (NSE).
According to the Legal Director and Company Secretary, GSK Consumer Nigeria Plc, Mr. Uche Uwechia, “The Board of GSK has a duty to consider the non-binding offer and ensure that stakeholders are informed and engaged. We operate in a very challenging environment and it is the company’s responsibility to consider all options to increase shareholder value.”