The head of the GSK rejects the management concerns as he outlines the plans

GSK CEO Emma Walmsley has backed down from her management concerns, saying she is a “change agent” who has to transform the UK pharmacist after the launch of her consumer health department.

Under pressure from the US hedge fund Elliott Management, Walmsley outlined his vision for the group, which aims to sell 33 33 billion by 2031 to overcome the expiration of major HIV drug patents by the end of the decade.

Over the next five years, the company expects annual sales growth of more than 5 percent and adjusted operating profit growth of more than 10 percent.

Walmsley declined to comment on whether Elliott had seen the plan, saying GSK was “always keeping an open ear” to the latest “long-term shareholders”. Elliott has acquired a stake in the company worth several billion pounds this year և received some support due to his concerns that he could not be the right CEO of GSK.

Asked whether he should run GSK after launch, despite his consumer business activities, he said: “I’m not going to spend time talking about all the things I’m not. I am an agent of change. I’m a business manager. And I’m very excited about GSK ‘s new projects. ”

Weight Loss GlaxoSmithKline will retain its stake in Consumer Health, which it can then sell to invest in its drug. GSK will save at least four-fifths of its stake in the London Stock Exchange with Pfizer next year, but plans to keep up to 20% to make money on time. by selling it on the open market. The company will already receive a dividend of up to 8 billion pounds from the distributor.

Walmsley said the offer was “very, very convenient for many shareholders.”

The deal is a compromise, as some shareholders were reluctant to repurchase the original shares, while others urged GSK to raise more money for mergers, acquisitions or in-house drug development to strengthen its pipeline.

The company has warned that after next year’s spin-off, it will cut its dividends to save money on investments as it loses its cash-generating consumer unit.

Next year, the group will pay a total dividend of 55p from GSK և Consumer Health. The new pharmacist will pay a 45p dividend in 2023, adhering to an advanced dividend policy.

Shares of GSK, which fell 6 percent last year, rose 2.1 percent to 1424.40 points at lunchtime in London.

“I am very aware that GSK shares have been underperforming for a long time,” Walmsley said. “The transformation that has taken place over the last four years creates a completely different platform for growth.”

Source link

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button