Haleon Share Price (HLN)

This notification relates to the sale by Pfizer Inc. ("Pfizer") of a portion of its interest in Haleon plc ("Haleon").

Pfizer sold 594,000,000 Haleon ordinary shares and 196,554,820 ordinary shares in the form of American depositary shares, each representing two ordinary shares ("ADSs") pursuant to a global offer. In connection with the global offer, Haleon repurchased 102,272,727 ordinary shares from Pfizer in accordance with the terms of a share purchase deed between Haleon and Pfizer dated 11 September 2023 and approved by Haleon's shareholders at its annual general meeting on 20 April 2023.

These calculations are based on an issued share capital of Haleon of 9,132,301,104 ordinary shares, following cancellation of the 102,272,727 ordinary shares repurchased from Pfizer, as communicated by Haleon in their announcement on total voting rights and capital dated 21 March 2024.

Pfizer holds its ordinary shares in Haleon through (i) BofA Securities, Inc., and (ii) Guaranty Nominees Limited (in respect of the ADSs), which hold the legal title to those shares on Pfizer's behalf.

Boxthefox,

I think the general consensus is that Haleon is very sensitive to medium to long term interest rate changes. The FED and the BoE have taken longer than was first thought to start reducing rates; if / when they come down then expect the share price here to go in the reverse. From the last set of accounts:

'Consistent with the priorities set out at the time of listing, we have rapidly de-levered to 3.0x net debt/adjusted EBITDA as at 31 December 2023. Strong cash generation enabled us to accelerate debt repayment and we now expect to operate at leverage of around 2.5x over the medium-term. This underpinned our decision to announce a capital allocation of £500m for share buybacks in 2024.

Did I read that Haleon bought some of these at £3.08 to be cancelled? I may be wrong but would this not indicate that the share price might hang around at the £3.08 level for some time?

As a result of the Global Offer, the Share Buyback and cancellation, Pfizer's interest in Haleon will reduce from 32% to approximately 22.6% of Haleon's issued Ordinary Shares with rights to vote.

Haleon has agreed to repurchase 102,272,727 Ordinary Shares from Pfizer off-market, subject to the completion of the Global Offer, for aggregate consideration of approximately £315 million (approximately $400 million)

Haleon intends to cancel the purchased Ordinary Shares. Following the Share Buyback and such cancellation, the total number of Ordinary Shares issued by Haleon with rights to vote is expected to be 9,132,301,104, as compared to 9,234,573,831 Ordinary Shares with rights to vote today. No shares are held in treasury.

That’s another major dent in the share overhang.

Other than the big 2, the other major shareholders appear to be 2% or less.

In my view it’s positive that Hln felt able to take part and buy back some as well.

It’s not the end of the share overhang,but think we are being showed it’s not a major problem,except to keep a lid on maximum sp.

It’s going to be interesting what happens to sp as the overhang shrinks away