GlaxoSmithKline raises Theravance stake to 19%

GlaxoSmithKline today increased its stake in American bio-tech firm Theravance to 19%, marking a vote of confidence in the company with which it is developing a new respiratory drug.

Glaxo and Theravance are working on a treatment called Relovair for asthma and chronic obstructive pulmonary disease, which the British firm hopes can follow its top-selling £5 billion-a-year Advair treatment.

The firm has bought a further 5.75 million Theravance shares at $22.50 each, at a cost of $129.4 million (£82.97 million), the companies said.

Moncef Slaoui, chairman of research and development at Glaxo, said: "This reflects the confidence we have in the Relovair programme."