Issued: 11th January 2001, London
GLAXOSMITHKLINE AND BLOCK DRUG RECEIVE REGULATORY APPROVAL TO COMPLETE
THE PURCHASE BY GLAXOSMITHKLINE OF BLOCK DRUG FOR $1.24 BILLION
GlaxoSmithKline plc (GSK) and Block Drug Company, Inc. today announced that they
received final regulatory clearance from the European Commission to complete
GSK's $1.24 billion acquisition of Block Drug, the manufacturer of Sensodyne
toothpaste and other oral healthcare and consumer products. Clearance has
already been received in the USA, Australia and Canada.
The companies expect to close the transaction early next week.
GSK's currently outstanding tender offer to purchase all of the outstanding
shares of Class A common stock and Class B common stock of Block Drug at $53 per
share net is scheduled to expire at 5:00 p.m., New York City time on Friday 12th
January 2001.
The tender offer, which is being conducted through an indirect, wholly-owned US
subsidiary of GSK, was originally commenced by SmithKline Beecham plc. On 27th
December 2000, SmithKline Beecham plc became a wholly owned subsidiary of GSK,
upon the effectiveness of the merger of SmithKline Beecham plc and Glaxo
Wellcome plc, pursuant to a scheme of arrangement approved by the UK High Court.
In addition to Sensodyne, Block Drug's products include Polident/Corega denture
cleanser, Poli-Grip/Corega denture adhesive, and a number of OTC brands. Block
Drug has geographic sales well balanced across North America, Europe and
International markets, including Japan. It has operations in over 100 countries
and employs approximately 3,000 people in R&D, sales and marketing,
manufacturing and distribution. For company information, visit Block Drug on the
World Wide Web at http://www.blockdrug.com.
GlaxoSmithKline - one of the world's leading research-based pharmaceutical and
healthcare companies - is committed to improving the quality of human life by
enabling people to do more, feel better and live longer.
Enquiries:
UK Media enquiries Martin Sutton (020) 8966 8000
Alan Chandler (020) 8975 2290
Louise Sibley (020) 8975 2260
US Media enquiries Jeremy Heymsfeld (215) 751 5166
Mary Anne Rhyne (919) 483 2839
European Analyst/Investor enquiries Jennie Younger (020) 8966 8378
Duncan Learmouth (020) 8966 5961
Joan Toohill (020) 8966 8715
Anita Kidgell (020) 8966 8369
US Analyst/ Investor enquiries Frank Murdolo (212) 308 5185
Tom Curry (215) 751 5419
Jennie Younger (020) 8966 8378
Website address www.gsk.com
This announcement is neither an offer to purchase nor a solicitation of an offer
to sell shares of Block Drug. Smithkline Beecham plc has filed a Tender Offer
Statement with the Securities and Exchange Commission ("SEC") and Block Drug has
filed a Solicitation/Recommendation Statement with respect to the offer. Block
Drug shareholders are advised to read the Tender Offer Statement regarding the
acquisition of Block Drug referenced in this press release, and the related
Solicitation/Recommendation Statement which have been filed with the SEC. THE
TENDER OFFER STATEMENT (INCLUDING AN OFFER TO PURCHASE, LETTER OF TRANSMITTAL
AND RELATED TENDER DOCUMENTS) AND THE SOLICITATION/RECOMMENDATION STATEMENT
CONTAIN IMPORTANT INFORMATION WHICH SHOULD BE READ CAREFULLY BEFORE ANY DECISION
IS MADE WITH RESPECT TO THE OFFER. These documents will be made available to all
shareholders of Block Drug at no expense to them. The Tender Offer Statement
(including the Offer to Purchase, the related Letter of Transmittal and all
other offer documents filed with the SEC) and the Solicitation/Recommendation
Statement also will be available at no charge on the SEC's website at
www.sec.gov.
