GlaxoSmithKline said on Thursday it sold its stake in Unilever's Indian business for $3.35 billion, which Refinitiv says is the largest block trade ever to have been carried out in India.
The funds will help GSK in its goal of reinvigorating its drug development pipeline, having made costly bets on experimental cancer treatments and future cell and gene therapies amid sluggish revenue growth.
The 5.7% stake in Hindustan Unilever was accepted by GSK as payment for the sale of its malted drink brand and other nutrition brands to Unilever, agreed in late 2018.
The 133.77 million shares were offloaded on average for 1,905 rupees, according to a statement from GlaxoSmithKline.
Potential investors were earlier told the shares would be sold in a range of 1,850 to 1,950 rupees, which was a 3%-8%discount to Wednesday's closing price of 2,010.20 rupees.
In the statement, GSK said it would now receive net proceeds from the Horlicks divestment of 2.9 billion pounds ($3.59 billion), up from its original expectation of 2.4 billion pounds.
It said the recent Hindustan Unilever share price gains led to the better than expected outcome.
The deal, at $3.35 billion, eclipses the previous block trade record in India when Daiichi Sankyo sold its $3.18 billion stake in Sun Pharmaceuticals in April 2015, according to Refinitiv.
On a global basis, the Glaxo block trade will be the 10th ever biggest, according to the data provider.
The largest-ever block trade remains Naspers selling $9.8 billion worth of Tencent stock in Hong Kong in March 2018.
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