The consumer goods company had already made three separate bids to acquire the business, but GSK said earlier this week that the latest offer was still “fundamentally undervalued”.
GSK said its board unanimously concluded the offer was not in the best interests of shareholders, and that it was instead pushing ahead with the planned demerger of the unit.
PARIS (Reuters) -Shares in Nestle and L'Oreal rose on Wednesday after the Swiss food group trimmed its stake in the French beauty giant, a deal that pleases investors on both sides while keeping ties between the two companies broadly intact - at least for now. The Nescafe maker has been a major shareholder in the owner of brands like Lancome since 1974, when L'Oreal heiress Liliane Bettencourt entrusted nearly half her stake to Nestle for fear it would be nationalised if Socialists came to power. The presence of Nestle, which is cutting its stake to just over 20% from 23% by selling shares worth about $10 billion, alongside the L'Oreal founding family helped insulate the French group from unsolicited takeover bids.