GlaxoSmithKline (GSK), a British multinational pharmaceutical and biotechnology company has announced plans to exit Nigeria, after 51 years of operation in Nigeria.

“In our published Q2 results we disclosed that the GSK UK Group has informed GlaxoSmithKline Consumer Nigeria PLC of its strategic intent to cease commercialization of its prescription medicines and vaccines in Nigeria through the GSK local operating companies and transition to a third-party direct distribution model for its pharmaceutical products,” GSK Nigeria Plc said in a statement seen by BusinessDay.
It added, “The Haleon Group has also separately informed the Board of its intent to terminate its distribution agreement in the coming months and to appoint a third-party distributor in Nigeria for the supply of its consumer healthcare products.”

“The Board of GlaxoSmithKline Consumer Nigeria Plc has concluded that there is no alternative but to cease operations,” GSK Nigeria said in an official statement signed by its company secretary, Frederick Ichekwai.
“Today we are briefing our employees whom we will treat fairly, respectfully and with care, meeting all applicable legal and consultation requirements,” the company said.
Is GSK leaving Nigeria?

The company said its board is conscious that shareholders will have many questions; “We have been working assiduously with our professional advisors to agree on next steps and we will be shortly submitting to the Securities and Exchange Commission (SEC) a draft Scheme of Arrangement which may, if approved, see shareholders other than GSK UK, receive an accelerated cash distribution and return of capital.”

“The Board acknowledges the support of the GSK Group in its intentions to make this possible, full details of which we hope to publish shortly. In the meantime, however, we cannot give you assurance of the final terms of any scheme, or that any scheme will be approved by the SEC or by shareholders,” GSK said.

It added, “Shareholders are advised to seek professional advice and continue to exercise caution when dealing in the company’s shares until a further announcement is made.”

GlaxoSmithKline Consumer Nigeria Plc was incorporated in Nigeria on 23rd June 1971 and commenced business on 1st July 1972, under the name Beecham Limited. Its Head office is located at 1 Industrial Avenue, Ilupeju, Lagos.

The Company was quoted on the Nigerian Stock Exchange in 1977. In 1982, in order to expand our operations in the country, an ultra-modern drinks factory was established in Agbara Industrial Estate, Ogun State, which has since been expanded to include facilities to manufacture Oral Healthcare (OHC) and Wellness products.

In line with our commitment to continuous improvement, we regularly update our facilities to meet the ever-increasing demands of our consumers.
https://businessday.ng/companies/article/gsk-to-exit-nigeria-after-51-years-of-operations/
Nlpfmod

Number of MNC companies leaving Nigeria is alarming and worrisome.

So sad and very unfortunate.
How are the mighty fallen
A whole multinational company like GSK folding up it's operations was unthinkable years back.
LBS needs to do a case study on the company as a guide for investors in the future.

That's loss of revenue for Ogun state though you wonder what Ogun state is using their IGR to do given the very dilapidated nature of roads in that state. These multinational companies would have been setting up in the south east but IPOB terrorists will not let Igboland have peace and development.

yinkus6750:
So sad and very unfortunate.
How are the mighty fallen
A whole multinational company like GSK folding up it's operations was unthinkable years back.
LBS needs to do a case study on the company as a guide for investors in the future.

They are leaving Nigeria .

They are not closing their international business,infact they are aggressively expanding in other countries.

AsomughaChuks05:
That's loss of revenue for Ogun state though you wonder what Ogun state is using their IGR to do given the very dilapidated nature of roads in that state. These multinational companies would have been setting up in the south east but IPOB terrorists will not let Igboland have peace and development.

Do you you know how many indigenous industries that opened in Anambra in last one year, indigenous companies is best way

No bi by turn by turn ooo. Governance is not taking fake glory for the efforts of others where you simply passed. Nigeria has gone 180° in just 2 months. It's woeful, shameful, undesirable and no one ever saw it coming.
One wonders how Nigeria found her way into this sorry state under super corrupt, sick, old ruthless man.

FYI: Idiots will foolishly tag me to rant nonsense. I don't reply idiots

EKONGKING:


They are leaving Nigeria .

They are not closing their international business,infact they are aggressively expanding in other countries.

You guys keep making silly excuses for incompetent leaders and things are getting worst

Another big loss to Nigeria！Many People are now going to join the millions of unemployed Nigerians searching for job. Ever since APC took over governance in Nigeria,quite a large chunk of companies has left Nigeria,its very disheartening hearing this GSK exit news.

Where are the Tinubu agents arguing he is getting it right?

Before his disastrous policies one can get black market dollar at N776.

Now same dollar is around N890, not slowing down in decline, and I&E of around N460 is now N750.

Where are those smearing Southeast I thought your region is best

Bestmanfornow:
Paindealer and those blackmailing Southeast I thought Yoruba land is best after Dubai to invest, this huge lose happening when your kinsmen is in charge

Don't mind those thick skulls. So thick, Putin and Hitler bunkers combined is more penetrable.

They said emefiele finished the dollar because he scared them during and before elections but they did what he couldn't in 9 years in just 2 months.

CodeTemplar:
Don't mind those thick skulls. So thick, Putin and Hitler bunkers combined is more penetrable.

They said emefiele finished the dollar because he scared them during and before elections but they did what he couldn't in 9 years in just 2 months.

You will not see them here

yinkus6750:
So sad and very unfortunate.
How are the mighty fallen
A whole multinational company like GSK folding up it's operations was unthinkable years back.
LBS needs to do a case study on the company as a guide for investors in the future.

Oga take it easy Nigeria is not the first country they are existing a few years back they left an European nation as well.....and its not like they won't still be operating in Nigeria, their operations would just be handled by third parties probably through a licensing agreement while GSK itself just sits back and collect royalties.....companies do it all the time for different reasons.......

leokid866:
Oga take it easy Nigeria is not the first country they are existing a few years back they left an European nation as well.....and its not like they won't still be operating in Nigeria, their operations would just be handled by third parties probably through a licensing agreement while GSK itself just sits back and collect royalties.....companies do it all the time for different reasons.......

See them defending incompetent leaders

The topic should have read GSk becomes a wailer and leaves the country.

They can't cope, some with Unilever, I heard nestle made a very big drop in revenue. Cadbury also made very big losses in revenue. The economy is taking very big hit , third quarter results will cause panic everywhere and cause more companies to rethink their operations.

It seems the downward slide of Nigeria is no longer unstoppable

God bless Bola Ahmed Tinubu, what ipob could not achieve with their meaningless and thoughtless sit at home , has been gotten within the first few weeks of Tinubu. May tinubu happen to all his supporters.

Bestmanfornow:

See them defending incompetent leaders

you're right a government of just two months is the reason a Multi billion dollar conglomerate is exiting Nigeria.....your brain is so on point 👉 . 👈......I bet you didn't know GSK sold some of its product operations to a Chinese company to run it across Africa and Asia about three years ago......This incompetent government is the reason they pulled out some of their operations in Asia too.......like I said your brain is so on point 👉 . 👈 ......