GlaxoSmithKline plc (GSK) announced that it has acquired Laboratorios Phoenix S.A.C.yF (Phoenix), a leading Argentine pharmaceutical business, for a cash consideration of approximately $253 million.

Under the terms of the transaction, GSK will gain full ownership of Phoenix in a move to accelerate sales growth and further extend its pharmaceutical portfolio in Argentina and the Latin America region.

Commenting on the agreement Abbas Hussain, president emerging markets GSK said: “This is an important step forward in our strategy to grow our business in Latin America; a key group of emerging markets for GSK. By acquiring Phoenix, we will rapidly expand our presence in the fast growing Argentine market. In addition, Phoenix’s broad portfolio and rich pipeline of branded generics will enable us to bring more medicines of value to patients in Argentina.”

Under the terms of the agreement GSK will gain access to a broad portfolio of branded generic pharmaceutical products covering therapeutic areas including cardiovascular, gastroenterology, metabolic and urology, as well as a manufacturing facility near Buenos Aires and Phoenix’s established primary care sales force. In addition, GSK will acquire an extensive local pipeline of branded generics and product development capability in Argentina.

Following the acquisition, GSK Argentina and Phoenix will stay as two separate legal entities and Phoenix will continue to be called Laboratorios Phoenix S.A.C.yF.