British pharmaceuticals major GlaxoSmithKline plc (GSK) has rejected expressions of interest from at least two likely bidders as it engages with a single potential buyer for its listed Egyptian subsidiary.
GSK has rejected proposals to engage in talks with Tenth of Ramadan for Pharmaceutical Industries and Diagnostic Reagents (Rameda) and Arab Company for Drug Industries & Medical Appliances (ACDIMA).
The proposed deal is part of GSK’s strategy to divest its business in Egypt and Tunisia.
It is currently in talks with British drugmaker Hikma Pharmaceuticals Plc. Hikma had inked a non-binding term sheet to acquire GSK’s interests in assets comprising its pharmaceutical, consumer commercialisation and manufacturing businesses in Egypt and its pharmaceutical business in Tunisia.
ACDIMA is a Jordan-based firm with a pan-Arab shareholding. The company has interests in several healthcare businesses in the Middle East and North Africa (MENA) region. It holds a stake in companies that do business in Saudi Arabia, the UAE, Tunisia, Iraq, Syria, Sudan, Algeria, Morocco and Libya. A deal with GSK would have added its exposure to Egypt.
Rameda has a portfolio of human and veterinary products. It started in 1994 and was acquired by a consortium of investors led by private equity firm Compass Capital in 2011. Compass exited the firm in 2016 by selling its stake to Greville Investing Ltd. Greville took the company public in late 2019.