NEW DELHI: The Competition Commission Friday said it has approved the formation of a joint venture for consumer healthcare products by pharmaceutical giants GlaxoSmithKline (GSK) and Pfizer. 

GSK, in December 2018, had said it has reached an agreement with Pfizer to combine their consumer health businesses into a new joint venture (JV) with combined sales of around USD 12.7 billion (around Rs 88,900 crore). 

In a tweet, the Competition Commission of India (CCI) said it "approves formation of a JV for consumer healthcare products by GSK and Pfizer." 

The proposed combination involves acquisition of Pfizer's consumer healthcare business by GSK, and the combination of GSK and Pfizer consumer healthcare business into a global consumer healthcare joint venture under the sole control of GSK, as per a notice submitted to CCI. 

After the deal, GSK will have a majority controlling equity interest of 68 per cent in the combined consumer healthcare business, while Pfizer will have a minority non-controlling equity interest of the remaining 32 per cent. 

In consumer healthcare segment, GSK is active in research, development, manufacturing, and marketing of products which are typically available without prescription (over-the-counter) for various indications. 

On the other hand, Pfizer's consumer healthcare segment develops, manufactures and markets non-prescription medicines, vitamins, and nutritional products. 

GSK had said that the transaction is expected to close in the second half of 2019, subject to approval by its shareholders and certain antitrust authority approvals. 

GSK is a British pharmaceutical company headquartered in London, whereas Pfizer is a US-based firm with headquarters in New York.