* Unilever shares fall 6%, GSK gains
* Unilever signals it would pursue deal for GSK unit
* Says committed to "strict financial discipline"
(Adds shares, background)
Jan 17 (Reuters) - Unilever signalled on Monday it
would pursue a deal for GlaxoSmithKline's consumer
health business, calling it a "strong strategic fit" after its
50-billion-pound ($68.4 billion) offer was rejected, sending its
shares down 6%.
GSK confirmed over the weekend that it had rejected the Dove
soap maker's bid for its consumer healthcare business, which is
home to brands such as Sensodyne toothpaste and Emergen-C
vitamin supplement.
GSK shares jumped 5% in early trading.
"The acquisition would create scale and a growth platform
for the combined portfolio in the U.S., China and India, with
further opportunities in other emerging markets," Unilever said,
pointing to synergies in the oral care and vitamin supplements
business.
GSK said on Saturday Unilever's offer "fundamentally
undervalued" the business, adding that it would stick to its
plan of listing the business this year.
The GSK consumer business, in which U.S. drugs company
Pfizer owns a 32% stake, has annual sales of almost 10
billion pounds.
Unilever held talks with banks about additional financing
for a potential sweetened offer for, Bloomberg News reported on
Sunday, citing people familiar with the matter. Unilever did not
immediately respond to a Reuters request for comment on the
talks.
The Marmite maker, which is set to announce an initiative
later this month to strengthen its business, said on Monday it
was committed to "strict financial discipline" for any
acquisitions.
Unilever also said any major acquisitions would be
accompanied by the divestment of lower margin businesses or
brands.
($1 = 0.7312 pounds)
(Reporting by Pushkala Aripaka in Bengaluru and Keith Weir in
London; Editing by Shounak Dasgupta and Emelia Sithole-Matarise)