completed the £1.35 billion sale of its famous drinks brands Lucozade and Ribena to the Japanese Brewing and Distilling company, Suntory.As well as acquiring the brands, Suntory have control of a manufacturing facility in the Forest of Dean that produces the drinks. The Coleford plant employs around 500 staff, prompting trade union Unite to demand “copper bottomed” guarantees on jobs when details of the deal were first announced in September of 2013.
At the time GSK said Lucozade and Ribena, which date back to 1927 and the 1930s respectively, will be in “good hands” with Suntory. GSK one of the world’s biggest pharmaceutical companies, said it was selling the brands after deciding to focus on a “core portfolio” of consumer healthcare brands with potential in emerging markets, such as toothpastes Sensodyne and Aquafresh as well as Panadol, and Nicorette.
David Redfern, GSK’s chief strategy officer, said: “Lucozade and Ribena are iconic brands that have made a huge contribution to GSK over the years, but now is the right time to sell them as we increase the focus of our consumer healthcare business."
The drinks were owned by Beecham Group prior to its merger in 1989 with SmithKline, and more than three-quarters of their sales are in the UK. They earn annual revenues of about £500m a year. The drinks are also produced in Nigeria, where GSK will continue to manufacture Lucozade and Ribena under licence from Suntory.
Suntory, which was established in 1899, is one of the oldest companies in the distribution of alcoholic beverages in Japan, and makes both best-selling and award-winning Japanese whisky.
