Tag: GSK

GlaxoSmithKline Consumer Nigeria Plc (GSK) has re-launched its premium nutritional beverage drink, Horlicks, a delicious and nourishing family drink into the Nigerian market. Horlicks, which contains 23 vital nutrients, is produced to meet daily nutritional needs for strong bones, sharp minds and a healthy body.

Brand Manager Horlicks, Mrs. Adebimpe Osanyintuyi, speaking at the trade launch held at the Oke-Aarin retail market, Lagos Island, said GSK is re-launching the highly nutritional brand to meet consumer needs and yearning based on research, feedback and traders’ insight.

“Nigeria is a cocoa beverage market and we have decided to meet our consumer’s needs by introducing Horlicks Chocolate flavour with an improved package and formulation to appeal more to our esteemed consumers. We have also decided to re-launch the premium beverage as a way of creating awareness amongst traders, distributors, partners and consumers on the new Horlicks that offers 23 key nutrients to meet the nutritional needs of every member of the family, providing them with total vitality and nourishment” Osanyintuyi informed.

Horlicks now comes in two flavours: the original malt flavour and the chocolate flavour that contain multiple micronutrients and essential vitamins for the health of the whole family.

While expressing the company’s commitment to improving the quality of human lives by enabling people to do more, feel better and live longer, Africa Marketing Director Family Nutrition, Mr. Lampe Omoyele said Horlicks is a highly nutritional product designed to meet these needs and can be taken anytime of the day.

“Horlicks is a premium nutritional health drink for the whole family and can be taken anytime of the day as part of a regular balanced daily diet. Horlicks provides daily dose of nutrients and supplements important for the growth and development of children as it promotes strong bones, sharp mind and a healthy body. To satisfy our esteemed consumers, we have repackaged Horlicks in more attractive plastic and sachet packages loaded with nutritional benefits for fitness, alertness and with adequate supplements to help excel in daily and extra – curricular life” Omoyele explained.

For Managing Director/Chief Executive, GSK Consumer Nigeria plc, Mr. Chidi Okoro, the dictum, ‘it’s good to leave when the ovation is loudest’, holds true, as the suave and gentlemanly CEO formally resigned his position as the MD/CEO and member of the Board of Directors, effective March 15, 2014.

Making this disclosure at a media parley recently was Chief Olusegun Osunkeye, Chairman, Board of Directors, GSK Consumer Nigeria Plc. “I want to thank Mr. Chidi Okoro for his leadership of our business. Chidi has been instrumental to the success of GSK Consumer Nigeria Plc. He has doubled our sales growth over the past four years while improving the way we run the business. He oversaw the launch of Sendodyne, Horlicks and other products. I am proud that he is the first Nigerian managing director of GSK Consumer Nigeria and I wish him the best in his future endeavours, “said an elated Osunkeye.

Okoro would be relieved by Justin Korte as acting Managing Director and General Manager, pending the time a substantive MD would be formally announced.

Okoro who joined GSK some seven years ago, sat atop as the first Nigerian CEO of the company for four years. “It has been a fulfilling four years serving as MD of GSK Consumer Nigeria plc. I believe the time is right for me to move on to other challenges. GSK Nigeria has a great future and it is an opportunity for someone new to make their mark on this great business and lead the company into the future. I believe I have played my part in the evolution of our company. It has been an immense learning experience as well as an opportunity to work with some of the best people in the corporate world.”

Continuing, he said working at GSK would go down in his career trajectory as probably one of his best experience ever. “I have worked at a couple of companies in the past but I can say for a fact that working at GSK was an awesome experience for me because I really enjoyed every moment of my time, especially with the people I worked with. It would go down as probably the best place I have worked all my life.”

The outgoing CEO who was noncommittal when asked what his future plans were, said his plans are under wraps for now.

Osunkeye said of the interim boss of GSK Nigeria, “Justin has a track record of high growth, successful leadership and extensive expertise designing effective route-to-market strategies in complex trade environments, adding significant value to the Nigerian business. I am pleased Justin will be able to lead the business during the transition period.”

Mr. Jonathan Girling, Vice President, Africa, GSK Consumer healthcare, said: “GlaxoSmithKline consumer is committed to Nigeria for the long term and has confidence in the continuing growth prospects of the business.”

Reiterating GSK’s desire to maintain its business growth, Osunkeye said: “the GSK Nigeria Board will focus on selecting a suitable successor that shares the great values of GSK and is committed to maintaining the growth of our business.”

Korte joined GSK from Gillette in early 2005, and has progressed through national accounts and national sales roles. After running his own business in 2008, Justin returned to head GSK’s Southern Africa business as Group Country Manager. He was promoted in 2011 to Sales Director, Africa.

GSK Consumer Nigeria Plc manufactures, markets and distributes a wide range of consumer healthcare brands including Panadol, Sensodyne, Horlicks and Lucozade. Over the past four years, GSK Nigeria has won several awards including the Pearl Award in the healthcare category in 2009, 2010, 2011 and 2012, which was capped with the Pearl Award for All Time Greats. In 2013, GSK Nigeria was a recipient of two major awards – the Pearl Sectoral Award in the healthcare category and the Most Outstanding CEO of the Year Award.

From the Chairman, GlaxoSmithKline Consumer Nigeria plc, Chief Olusegun Osunkeye, and Managing Director, Mr. Chidi Okoro, have come a word of encouragement to Nigerians loyal to some of its premium brands like Lucozade and Ribena: “We’ll continue to deliver total satisfaction to all our customers.”

The duo spoke separately ahead of the global divestment of the brands announced by GlaxoSmithkline Plc to Suntory Beverage & Food Ltd (SBF).

Under the new arrangement, GSK Consumer Nigeria will continue to carry on with Lucozade and Ribena business for SBF following the completion of the deal.

Subject to regulatory approval in Europe, the deal is expected to be completed by the end of the year.

It would be recalled that Lucozade and Ribena accounted for over half of GSK Nigeria’s sales and operating profit in 2012. Last year, GSK Nigeria’s sales of these brands grew by 26%.

SBF is a core company of Suntory Group, which was founded in 1899. With global consolidated sales of over £12 billion in 2012, Suntory has a range of businesses encompassing alcoholic beverages, wellness, food, restaurants and flowers with approximately 200 companies and 29,000 employees across Japan, Europe, Asia Pacific and the Americas.

According to Osunkeye, Chairman, GSK Nigeria, this new arrangement with GSK Nigeria to continue with Lucozade and Ribena business is an indication of the positive contributions of GSK Nigeria to the global business.

“Lucozade and Ribena are great products, loved by consumers in Nigeria. They are an important part of our business and I am very pleased that we will continue to supply these products. Today’s deal is a show of confidence in us by GSK plc and SBF, and gives us a solid growth platform for the future,”Osunkeye said.

Also, speaking on the new deal, César Sánchez Moral, Head of Africa, SBF, said: “SBF is delighted to be the new owner of the global Lucozade and Ribena brands. We view Nigeria as a hugely important growth market and we believe that the combination of Lucozade and Ribena and our portfolio of international brands open new opportunities for both partners. We have had the opportunity to visit GSK Nigeria’s factory in Agbara and we are very impressed by the quality of the facility and the commitment of GSK Nigeria’s people. SBF is also committed to developing the business over the long term and we look forward to working with GSK Nigeria as we grow the business together.”

Echoing similar sentiments, Mr. Chidi Okoro, who spoke at a media briefing held at the company’s corporate headquarters in Lagos, stressed that the two premium brands remain a major staple in the company’s product line, hence the commitment and drive to keep them as flagship products in the country.

FRESH fact emerged at the weekend as to why GlaxoSmithKline United Kingdom (GSK UK) suspended plan to increase its stake in GlaxoSmithKline Consumer Nigeria Plc (GSK Nigeria) from 46.4 per cent to 75 per cent.

Speaking at a media parley in Lagos, Chief Olusegun Osunkeye, the Chairman Board of Directors, in company of other members of the board, said the decision to back down on the proposal was to allow for more robust consultation with the parties in the deal.

According to him, apart from minority shareholders of GSK Nigeria who complained against the offer price, institution investors abroad also expressed misgivings over the deal.

Among other things, the GSK Nigeria Board chair said the foreign investors considered the terms of the deal at variance with UK laws.

“The institutional investors noted that as a rule, UK investors in another country cannot necessarily take the advantage of the maximum of the law of other countries.”

As a way out, Osunkeye said that the general meeting of shareholders of GSK Nigeria therefore considered proper to do away with the proposed scheme of arrangement and adjourned indefinitely in order to allow for agreement among the parties concerned.

While not foreclosing the possibility of a quick resolution, the GSK board chair said: “We are back on the drawing board and hope to look at the new trading arrangement and the price. It may be by tender or some other means mutually agreed by the parties.”

It may be recalled that the UK firm had made the proposal to buy additional shares from Nigerian shareholders at N48 through a scheme of arrangement slated to be approved at a court-ordered meeting in Lagos last Tuesday.

Justifying the need for the share buyout, the company said it was aimed at facilitating more investment in GSK Nigeria.

But the terms of the agreement were faulted by the minority shareholders who complained against the offer price who said the deal could lead to eventual delisting of the company from the Nigerian Stock Exchange (NSE).

Following the complaints, the Securities and Exchange (SEC) stepped in by directing that the price be reviewed upwards while GSK UK should not vote at the meeting.

Subsequently, the company said following consultations with its shareholders and relevant regulatory bodies, the proposal was withdrawn at the meeting.

Earlier in a statement, the Managing Director, GSK Consumer Nigeria Plc, Chidi Okoro, said: “GSK as a company believes in fairness and transparency in all its processes, and we are committed to shareholder’s interest and the growth of the Nigerian economy.”

According to him, GSK believed that the suspension of the scheme of arrangement is necessary in order to consider appropriate amendments to the proposal.

“In line with this, GSK will continue consultations with shareholders and the Securities and Exchange Commission as to whether the proposal will be implemented by way of a tender offer or otherwise,” Okoro said.

He added that GSK had commenced work on the formalisation of updated long-term arrangements that would allow GSK Nigeria to continue to distribute these brands in Nigeria and some West African countries.

“The company believes it is important that these arrangements are concluded and disclosed before any revised proposal is put to GSK Nigeria shareholders,” he said.