5th May 2006 08:36
Pliva d.d.05 May 2006 PLIVA Completes Divestment of Research Institute Zagreb, Croatia, 05 May 2006 - PLIVA d.d. (LSE: PLVD) announced today that ithas completed the divestment of PLIVA - Istrazivacki Institut d.o.o. (PLIVA -Research Institute Ltd.), PLIVA's proprietary R&D arm to GlaxoSmithKline (GSK). PLIVA received a payment of USD 35m upon closing of the transaction and isentitled to contingent payments totaling up to USD 15m conditional on the entryof certain early stage projects into clinical development. In addition, PLIVAwill receive contingent royalty-based consideration pending commercialisation ofcertain assets. The closing of the transaction will positively impact PLIVA Group results by anexceptional gain on sale of the discontinued business of about USD 20m in thesecond quarter 2006. Ongoing financing of the discontinued proprietary R&Doperations through to closing will also impact PLIVA Group results by about USD6m. Both items will be recorded below the operating line (EBIT). More information about PLIVA can be found at www.pliva.com For additional information, please contact: Marija MandicExecutive DirectorInvestor Relations & Corporate CommunicationsTel: +385 1 6160 355Tel: +385 1 6120 909Fax: +385 1 6114 413E-mail: [email protected] This release contains certain "forward-looking statements", relating to theGroup's business, which can be identified by the use of forward-lookingterminology such as "will", "planned", "expectations", "forecast" or similarexpressions, or by discussions of strategy, plans or intentions. Such statementsinclude descriptions of new products expected to be introduced or have beenintroduced by the Group companies and anticipated customer demand for suchproducts. Such statements reflect the current views of the Group with respect tofuture events and are subject to certain risks, uncertainties and assumptions.Many factors could cause the actual results, performance or achievements of theGroup to be materially different from any future results that may be expressedor implied by such forward-looking statements. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
Glaxosmithkline