GlaxoSmithKline Stock – Vectura Group Reaffirms Special Dividend Plan After End of Litigation
By Adria Calatayud
Vectura Group PLC said Wednesday that it plans to go ahead with its plan to pay a special dividend, as it considers that a U.S. patent-litigation process with GlaxoSmithKline PLC is now fully resolved.
Vectura, a UK. pharmaceuticals business specializing in inhaled medicines, said Glaxo hasn’t petitioned the Supreme Court in relation to a U.S. patent litigation concerning Glaxo’s Ellipta products, and that this was the final route of appeal.
To date, Vectura has received 127.6 million pounds ($177.9 million) from Glaxo in respect of the U.S. patent litigation, it said. Vectura said it can execute its growth plans without using these funds, which allow it to pay a special dividend of 19 pence a share, totaling GBP113 million, and to launch a share consolidation.
The share consolidation will replace every six existing shares with five new shares, Vectura said.
The special dividend and share consolidation are subject to shareholder approval. A general meeting is due to be held on May 27, Vectura said.
Shares in Vectura at 0712 GMT were up 3.9% at 116 pence.
Write to Adria Calatayud at [email protected]
(END) Dow Jones Newswires