GlaxoSmithKline

GlaxoSmithKline plc (GSK) was formed through the merger of Glaxo Wellcome and SmithKline Beecham on December 27, 2000. This merger created one of the world's largest pharmaceutical companies, combining the strengths of both companies in the fields of pharmaceuticals, vaccines, and consumer healthcare products. The merger was valued at approximately £107 billion, making it the largest merger in history at the time. Prior to the merger, Glaxo Wellcome was known for its new chemical entities and leading HIV treatment profiles, while SmithKline Beecham had significant vaccine and consumer health operations.

On November 28, 2006, GlaxoSmithKline's vaccine Cervarix was approved by the European Union. Cervarix is used to prevent cervical cancer by protecting against certain types of human papillomavirus (HPV). This was a landmark event as it was among the first vaccines to target cancer-related HPV types, contributing significantly to preventative healthcare and cancer prevention strategies. The approval of Cervarix highlighted GSK's presence in the vaccine market and its commitment to developing innovative healthcare solutions.

On July 2, 2012, GlaxoSmithKline pleaded guilty to criminal charges related to the illegal promotion of prescription drugs and failure to report safety data, and agreed to pay $3 billion in what was at the time the largest healthcare fraud settlement in U.S. history. The case charged that GSK promoted the use of certain antidepressant drugs for unapproved uses and did not provide the FDA with safety data about the diabetes drug Avandia. This settlement comprised both criminal and civil liabilities, highlighting significant regulatory and compliance lapses within the company during that era.

On September 19, 2014, a court in China fined GlaxoSmithKline nearly $500 million after finding the pharmaceutical giant guilty of bribery. The Chinese court found that GSK had sought to boost drug sales by bribing doctors and hospitals in China with monetary incentives and gifts. This ruling was part of a wider crackdown on corruption within China and represented one of the largest fines ever imposed on a multinational company operating in the country. The judgment also included a regulated executive sentence for GSK's former China head, Mark Reilly.

On March 2, 2015, GlaxoSmithKline and Novartis completed a complex deal worth over $20 billion that involved a series of asset exchanges and collaborations. As part of the deal, GSK acquired Novartis’s global vaccines business (excluding influenza vaccines) for $7.1 billion, and in return, Novartis acquired GSK’s oncology business for $16 billion. Additionally, the two companies formed a joint consumer healthcare venture. This strategic transaction aimed to bolster GSK’s offerings in vaccines and consumer health, while allowing Novartis to strengthen its cancer treatment pipeline.

On December 3, 2015, GlaxoSmithKline agreed to pay $20 million to settle charges by the U.S. Securities and Exchange Commission (SEC) related to allegations of bribery in China. The SEC alleged that between 2010 and 2013, GSK's Chinese subsidiaries engaged in bribery schemes that included providing money and gifts to convince officials to purchase or promote GSK drugs in violation of the Foreign Corrupt Practices Act. This settlement reflected ongoing scrutiny and challenges faced by multinational corporations operating under complex global compliance environments.

On March 25, 2020, GlaxoSmithKline and Sanofi announced a partnership to develop a COVID-19 vaccine, leveraging GSK's adjuvant technology and Sanofi's recombinant protein-based technology. The collaboration aimed to deliver an effective vaccine to combat the ongoing coronavirus pandemic. The collaboration reflected an unprecedented effort in vaccine development, pooling the strengths of two of the world's leaders in pharmaceutical and biotechnology innovation. Their combined resources and technological platforms were seen as a significant move toward addressing the global health crisis.

On June 15, 2021, GlaxoSmithKline presented a new strategic direction aimed at transforming its operations by focusing on pharmaceuticals and vaccines, enhanced by significant investment in research and development (R&D). GSK announced it would prioritize investing in its robust vaccines and specialty medicines pipeline, which represented a shift away from its consumer health business in light of the planned demerger of Haleon in 2022. The company's strategy reflected a reinvigorated commitment to innovation and tackling key healthcare challenges worldwide.

On July 18, 2022, GlaxoSmithKline completed the demerger of its consumer healthcare division, Haleon, into a standalone company. This demerger aimed to allow GSK to focus more intensely on its biopharmaceutical business, especially its strength in vaccines and specialty medicines. Haleon, now an independent company, became one of the largest global consumer health companies, taking with it renowned brands including Sensodyne, Panadol, and Advil. The separation was part of a strategic move to unlock the respective values of GSK's pharmaceutical and consumer health operations.

As of March 20, 2023, GlaxoSmithKline, alongside other pharmaceutical companies, faced litigation in the United States regarding the recalled heartburn medication Zantac. Allegations included claims that the drug's active ingredient ranitidine could degrade into a carcinogen, leading to concerns over a potential link to cancer. These legal battles highlighted ongoing issues with drug safety and regulatory compliance faced by GSK and its industry peers, reflecting broader challenges within the pharmaceutical sector related to historical product liabilities.