Glaxo has taken 19 % share of Aspen

GlaxoSmithKline has taken a 19 per cent stake in Africa's biggest generic drugmaker, Aspen Pharmacare, after completing a strategic collaboration with the South African group. Earlier Glaxo had originally said it would have a 16 per cent holding when the deal was announced in May.

Aspen has issued 68.5 million new shares to Glaxo in exchange for Glaxo's manufacturing plant in Bad Oldesloe, Germany, and eight specialist medicines.

Selling branded generic drugs in emerging markets is a central plank to diversify Glaxo's business away from its traditional reliance on blockbuster medicines in Western countries. In addition to the tie-up with Aspen, Glaxo also has deals with Dr Reddy's Laboratories and a number of Chinese partners.