U.S. regulators stall Glaxo - SmithKline merger

FTC requests more information on smoking-cessation products

Glaxo Wellcome (London) and SmithKline Beecham (Philadelphia) have apparently delayed their merger beyond the previously announced date of September 25, pending the companies' responses to U.S. Federal Trade Commission (FTC) queries regarding the firms' smoking-cessation products. SmithKline and Glaxo now expect to complete their deal by year's end.

The FTC recently requested additional information regarding Glaxo Wellcome's Zyban prescription product and SmithKline's over-the-counter products Nicorette and Nicoderm. Both companies have characterized the latest regulatory snag as "minor."

The European Commission approved the merger in May; shareholders of both companies approved at meetings held on July 31. The merger remains subject to sanction by the UK High Court in addition to FTC clearance in the United States.

Edited by Angelo DePalma
Managing Editor, Drug Discovery Online and Pharmaceutical Online