GSK Exits Respiratory Partner Innoviva In $392M Deal

GlaxoSmithKline plc GSK has agreed to sell 32 million shares in Innoviva Inc INVA back to the royalty management company, raising $392 million, at a 3% discount or $12.25 per share.
Innoviva, a royalty management company that collaborates with GSK on respiratory treatments, including Breo Ellipta, Anoro Ellipta, and Trelegy Ellipta, has counted GSK among its investors for years.
Now, GSK is selling its holdings, with plans to use proceeds to “make further investment behind the group’s strategic priorities.”
“This equity disposal releases capital to enable GSK to make further investment behind the group’s strategic priorities,” said GSK.
Following the settlement of the transaction, GSK will no longer hold any Innoviva stock.
Price Action: INVA shares are up 7.12% at $13.17, while GSK shares are down 0.36% at 39.11 during the market session on the last check Thursday.