On May 20, 2021 GlaxoSmithKline reported that it has agreed with Innoviva, Inc ("Innoviva") – a royalty management company – to sell all of its approximately 32 million shares of common stock of Innoviva back to Innoviva at a price of $12.25 per share, raising gross proceeds of approximately $392 million (Press release, GlaxoSmithKline, MAY 20, 2021, View Source [SID1234580360]). Following settlement of the transaction, GSK will no longer hold any Innoviva stock.

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The terms of GSK’s long-standing and successful respiratory collaboration with Innoviva remain unchanged. Under this agreement GSK pays royalties to Innoviva on TRELEGY ELLIPTA, RELVAR/BREO ELLIPTA and ANORO ELLIPTA. In 2020, TRELEGY ELLIPTA sales were £819m (+59% CER (constant exchange rates)); RELVAR/BREO ELLIPTA sales were £1.1bn (+17% CER) and ANORO ELLIPTA sales were £547m (+8% CER).

This equity disposal releases capital to enable GSK to make further investment behind the Group’s strategic priorities.

Innoviva’s most recent closing share price was $12.29. The five-day volume weighted average price was $12.67.