Freshfields, Linklaters and Slaughters lead on Novartis and GSK joint venture
Magic circle trio Freshfields Bruckhaus Deringer, Linklaters and Slaughter and May have snared the top roles on a joint venture agreement between pharmaceutical giants Novartis and GlaxoSmithKline
April 22, 2014 at 07:52 AM
3 minute read
Magic circle trio Freshfields Bruckhaus Deringer, Linklaters and Slaughter and May have snared the top roles on a joint venture agreement between pharmaceutical giants Novartis and GlaxoSmithKline (GSK).
The transformative deal will involve the two businesses combining their consumer healthcare units in a joint venture with revenues of £6.5bn. Novartis will also acquire GSK's oncology business for $16bn (£9.5bn) and sell its vaccines division, excluding the flu unit, to GSK for $7.1bn (£4.2bn).
Freshfields and Linklaters provided joint corporate counsel for Novartis. For Freshfields, London managing partner Julian Long led along with London head of antitrust Rod Carlton and partners Thomas Janssens and Paul Yde. The Linklaters team was led by corporate partner James Inglis.
Hogan Lovells provided US corporate advice to Novartis, with a team led by New York M&A partner Adam Golden.
Slaughter and May corporate partner Simon Nicholls led the team advising GSK.
Cleary Gottlieb Steen & Hamilton is advising GSK on antitrust matters, with Washington partner George Cary leading. Niederer Kraft & Frey is advising on Swiss law matters, with corporate partner Philipp Haas leading.
GSK will have majority control of the JV with an equity interest of 63.5%.
Sir Andrew Witty, chief executive GSK said: "This proposed 3-part transaction accelerates our strategy to generate sustainable, broadly sourced sales growth and improve long-term earnings.Opportunities to build greater scale and combine high quality assets in vaccines and consumer healthcare are scarce. With this transaction we will substantially strengthen two of our core businesses and create significant new options to increase value for shareholders."
GSK shareholders are expected to receive a £4bn capital return from the deal.
Meanwhile, in a separate transaction Novartis has sold its animal health division to Eli Lilly for $5.4bn (£3.2bn) in an all-cash transaction. Freshfields again acted for Novartis on the deal, with Long leading.
Weil, Gotshal & Manges took the mandate for Lilly. The US firm fielded a multi-disciplinary team led by New York corporate partners Raymond Gietz and Matthew Gilroy
Both transactions are expected to close in the beginning half of 2015.
Joseph Jimenez, CEO of Novartis said: "The transactions mark a transformational moment for Novartis. We have also created a world-leading consumer healthcare business in our joint venture with GSK. We believe the divestment of our smaller Vaccines and Animal Health Divisions will enable us to realize immediate value from these businesses for our shareholders."
In 2012 Novartis finalised its first legal panel with magic circle trio Allen & Overy, Freshfields and Linklaters securing positions on its global roster.
In the same year, Slaughter and May collaborated with German and Italian best friends Hengeler Mueller and Bonelli Erede Pappalardo in advising GSK on its €470m (£393m) divestment of a portfolio of European over-the-counter (OTC) healthcare products to Omega Pharma.
This content has been archived. It is available through our partners, LexisNexis® and Bloomberg Law.
To view this content, please continue to their sites.
Not a Lexis Subscriber?
Subscribe Now
Not a Bloomberg Law Subscriber?
Subscribe Now
NOT FOR REPRINT
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
You Might Like
View AllPérez-Llorca, Deloitte Legal and White & Case behind €1B Green Deal in Spain
South Africa Regulator’s Staffing Problems Leave High-Stakes M&A Deals in Limbo
4 minute readGoodwin, Conyers, A&O Shearman Act on $800M China Biotech Sale
Trending Stories
Who Got The Work
Michael G. Bongiorno, Andrew Scott Dulberg and Elizabeth E. Driscoll from Wilmer Cutler Pickering Hale and Dorr have stepped in to represent Symbotic Inc., an A.I.-enabled technology platform that focuses on increasing supply chain efficiency, and other defendants in a pending shareholder derivative lawsuit. The case, filed Oct. 2 in Massachusetts District Court by the Brown Law Firm on behalf of Stephen Austen, accuses certain officers and directors of misleading investors in regard to Symbotic's potential for margin growth by failing to disclose that the company was not equipped to timely deploy its systems or manage expenses through project delays. The case, assigned to U.S. District Judge Nathaniel M. Gorton, is 1:24-cv-12522, Austen v. Cohen et al.
Who Got The Work
Edmund Polubinski and Marie Killmond of Davis Polk & Wardwell have entered appearances for data platform software development company MongoDB and other defendants in a pending shareholder derivative lawsuit. The action, filed Oct. 7 in New York Southern District Court by the Brown Law Firm, accuses the company's directors and/or officers of falsely expressing confidence in the company’s restructuring of its sales incentive plan and downplaying the severity of decreases in its upfront commitments. The case is 1:24-cv-07594, Roy v. Ittycheria et al.
Who Got The Work
Amy O. Bruchs and Kurt F. Ellison of Michael Best & Friedrich have entered appearances for Epic Systems Corp. in a pending employment discrimination lawsuit. The suit was filed Sept. 7 in Wisconsin Western District Court by Levine Eisberner LLC and Siri & Glimstad on behalf of a project manager who claims that he was wrongfully terminated after applying for a religious exemption to the defendant's COVID-19 vaccine mandate. The case, assigned to U.S. Magistrate Judge Anita Marie Boor, is 3:24-cv-00630, Secker, Nathan v. Epic Systems Corporation.
Who Got The Work
David X. Sullivan, Thomas J. Finn and Gregory A. Hall from McCarter & English have entered appearances for Sunrun Installation Services in a pending civil rights lawsuit. The complaint was filed Sept. 4 in Connecticut District Court by attorney Robert M. Berke on behalf of former employee George Edward Steins, who was arrested and charged with employing an unregistered home improvement salesperson. The complaint alleges that had Sunrun informed the Connecticut Department of Consumer Protection that the plaintiff's employment had ended in 2017 and that he no longer held Sunrun's home improvement contractor license, he would not have been hit with charges, which were dismissed in May 2024. The case, assigned to U.S. District Judge Jeffrey A. Meyer, is 3:24-cv-01423, Steins v. Sunrun, Inc. et al.
Who Got The Work
Greenberg Traurig shareholder Joshua L. Raskin has entered an appearance for boohoo.com UK Ltd. in a pending patent infringement lawsuit. The suit, filed Sept. 3 in Texas Eastern District Court by Rozier Hardt McDonough on behalf of Alto Dynamics, asserts five patents related to an online shopping platform. The case, assigned to U.S. District Judge Rodney Gilstrap, is 2:24-cv-00719, Alto Dynamics, LLC v. boohoo.com UK Limited.
Featured Firms
Law Offices of Gary Martin Hays & Associates, P.C.
(470) 294-1674
Law Offices of Mark E. Salomone
(857) 444-6468
Smith & Hassler
(713) 739-1250