PHARMACEUTICALS giant GlaxoSmithKline today announced that it is planning to sell its Lucozade and Ribena drinks brands, alongside its first quarter results which posted a two per cent drop in turnover.
“In April 2013, we completed the strategic review of our nutritional drinks brands Lucozade and Ribena and concluded that the tremendous growth potential of these iconic brands, particularly outside the 'core' Western markets, could be better leveraged by companies with existing category presence and infrastructure in these regions,” said chief executive Sir Andrew Witty.
“As a result, we have decided to pursue the divestment of these brands, subject to the realisation of appropriate value for GSK shareholders.”
The FTSE company also posted a two per cent decrease in group sales, but said that 2013 is a “key year” for fruition of its research and development.
The group plans to create a new ‘Global Established Products’ division this year, which is expected to include around 50 brands with annual sales of £3bn.