FORM 6-K
 

 

SECURITIES AND EXCHANGE COMMISSION
Washington D.C. 20549

 

Report of Foreign Issuer

 

Pursuant to Rule 13a-16 or 15d-16 of
the Securities Exchange Act of 1934
 


For period ending May 2009
 

GlaxoSmithKline plc
(Name of registrant)
 
 

 

980 Great West Road, Brentford, Middlesex, TW8 9GS
(Address of principal executive offices)
 
 

Indicate by check mark whether the registrant files or
will file annual reports under cover Form 20-F or Form 40-F
 
 

Form 20-F x Form 40-F
 

 --

Indicate by check mark whether the registrant by furnishing the
information contained in this Form is also thereby furnishing the
information to the Commission pursuant to Rule 12g3-2(b) under the
Securities Exchange Act of 1934.
 
 
Yes No x
  --

Issued: 
Wednesday 6
th
 May 2009
, 
Research Triangle Park
, 
NC




GlaxoSmithKline to Divest US Rights for 
Wellbutrin XL
®
 to Biovail for $510 Million
GlaxoSmithKline plc (GSK) today announced that it 
has entered into an agreement to 
divest full commercial rights to 
Wellbutrin XL
®
 in the United States to Biovai
l International Laboratories SRL
, a subsidiary of Biovail Corporation (NYSE, TSX: 
BVF
), for $510 million (£340 million).
  The agreement is subject to Hart-Scott-Rodino regulatory clearance in the 
United States
.
Generic competition to 
Wellbutrin XL
 began at the end of 2006 for the 300mg tablet and during the second quarter of 2008 for the 150mg tablet.  
US
 s
ales of 
Wellbutrin XL
 in the first quarter of 2009 were £45 million (-70%).  
"We are actively reshaping our 
US
 business and managing the transition occurring in our product portfolio
," said 
Deirdre Connelly, President North American Pharmaceuticals
, GlaxoSmithKline
. 
 "
This transaction is one 
of a series of actions we are taking 
to maximi
z
e the value of our current assets and 
to enable us to r
esource and invest
 in
 new products and upcoming launches." 
Under the terms of the agreement, GSK will transfer the US NDA and license the 
Wellbutrin XL 
trademark to Biovail for use in the 
US
. GSK will retain existing rights to 
Wellbutrin XL
 (excluding 
Canada
) for countries outside the 
US
.  
Sales of 
Wellbutrin XL
 outside the 
US
 were £7 million in the first quarter of 2009.
GSK expects to record a pre-tax gain of approximately £340 million in Other Operating Income 
as a result of 
this 
divestment. The company
 now expects the combined total of Other Operating Income and profit on disposal of interests in associates 
to be around £700 million in 2009.
Wellbutrin XL 
(bupropion hydrochloride extended-release tablets) is indicated for the treatment of major depressive disorder and seasonal affective disorder. It was developed by Biovail and has been distributed by GSK in the 
United States
 since September 2003. 
 

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. For further information please visit 
www.gsk.com

S M Bicknell
Company Secretary

06 May 2009


GlaxoSmithKline 
Enquiries:


UK Media enquiries:
Philip Thomson
(020) 8047 5502

David Outhwaite
(020) 8047 5502

Stephen Rea
(020) 8047 5502



US Media enquiries:
Mary Anne Rhyne
(919) 483 2839

Kevin Colgan
(919) 483 2839



European Analyst/Investor enquiries:
David Mawdsley
(020) 8047 5564

Sally Ferguson
(020) 8047 5543

Gary Davies
(020) 8047 5503



US Analyst/ Investor enquiries:
Tom Curry
(215) 751 5419

Jen Hill Baxter
(215) 751 7002



Cautionary statement regarding forward-looking statements
Under the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995, GSK cautions investors that any forward-looking statements or projections made by GSK, including those made in this announcement, are subject to risks and uncertainties that may cause actual results to differ materially from those projected. Factors that may affect GSK' s operations are described under 'Risk Factors' in the 'Business Review' in the company' s Annual Report on Form 20-F for 2008.

Trademarks
Brand names appearing in italics throughout this document are trademarks of GSK. 

SIGNATURES


Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorised.
 
 

GlaxoSmithKline plc
(Registrant)
 
 

Date:  May 06, 2009

By: VICTORIA WHYTE

------------------

Victoria Whyte
Authorised Signatory for and on
behalf of GlaxoSmithKline plc