SmithKline's remaining upstream merger options limited after termination of Glaxo talks.
This article was originally published in The Tan Sheet
Executive Summary
SMITHKLINE REMAINING CHOICES FOR UPSTREAM MERGER LIMITED now that negotiations with Glaxo Wellcome have fallen through. Among the top four pharmaceutical firms worldwide -- Glaxo, Merck, Novartis and Bristol-Myers Squibb -- three probably can be ruled out as merger candidates for SB. An outright acquisition of a smaller firm, such as perennial acquisition candidates Warner-Lambert or Schering-Plough, could be an alternative for SmithKline Beecham, but such a move would not bring the company into the top rankings of the pharmaceutical industry as envisioned by CEO Jan Leschly.