GlaxoSmithKline ups its stake in Glaxo Saudi Arabia to 75%

GlaxoSmithKline (GSK) has acquired an additional 26 percent stake in Glaxo Saudi Arabia Limited (GSAL), bringing its total stake in the company to 75 percent, the global healthcare firm said in a statement Monday.

The deal reinforces GSK’s footprint in the Kingdom, as it comes in-line with the government’s plan to diversify the economy and boost the Saudi pharmaceutical industry, the statement added.

The acquisition comes on top of more than SAR 900 million worth of investments GSK is pushing into its Saudi operations over the next three years, the statement added.

The company said it also intends to expand the production at its Jeddah manufacturing site by 30 percent in the next three years with more investments to be done by 2020.

“Building on 20 years of presence in the Kingdom, the acquisition will give us the flexibility to invest in areas where there are opportunities to further drive access and business performance in the country,” said Luciano Andrade, Country Manager of GSK in Saudi Arabia.