Glaxo buys Chinese drugmaker for $70 million

Glaxo buys Chinese drugmaker for $70 million

London: GlaxoSmithKline, Britain’s biggest drugmaker, is to buy Chinese urology and allergy treatments specialist Nanjing MeiRui Pharma for around $70 million, underscoring its continued drive into emerging markets.

The deal, which fits with Glaxo’s strategy of adding growth through bolt-on acquisitions, was expected to complete by the year-end, subject to regulatory approval, the company said on Tuesday.

Sources familiar with the situation had said last week Glaxo was close to acquiring MeiRui.

China is the world’s third largest drugs market and pharmaceuticals information company IMS Health expects it to overtake Japan as the world’s second-biggest market, after the United States, in 2015.