GlaxoSmithKline has agreed with Innoviva, Inc (“Innoviva”) – a royalty management company – to sell all of its approximately 32 million shares of common stock of Innoviva back to Innoviva at a price of $12.25 per share, raising gross proceeds of approximately $392 million. Following settlement of the transaction, GSK will no longer hold any Innoviva stock.
The terms of GSK’s long-standing and successful respiratory collaboration with Innoviva remain unchanged. Under this agreement GSK pays royalties to Innoviva on TRELEGY® ELLIPTA®, RELVAR®/BREO® ELLIPTA® and ANORO® ELLIPTA®. In 2020, TRELEGY® ELLIPTA® sales were £819m (+59% CER (constant exchange rates)); RELVAR®/BREO® ELLIPTA® sales were £1.1bn (+17% CER) and ANORO® ELLIPTA® sales were £547m (+8% CER).
This equity disposal releases capital to enable GSK to make further investment behind the Group’s strategic priorities.
Innoviva’s most recent closing share price was $12.29. The five-day volume weighted average price was $12.67.