The merger of Glaxo Wellcome Plc and Smithkline Beecham Plc is expected to take effect from August 21, subject to approval by shareholders and the American Federal Trade Commission.
In a joint letter to shareholders, sent out on July 5, Sir Richard Sykes (chairman, GW) and Sir Peter Walters (chairman, SB) say the merger will produce annual cost savings of £1bn by 2003, £250m of which will be reinvested in research and development.
Shareholders meetings for both companies are to be held in London on July 31.