GlaxoSmithKline denies interest in Aurinia

British drugs group GlaxoSmithKline has denied speculation it is interested in acquiring Canada’s Aurinia Pharmaceuticals.

The Mail on Sunday reported at the weekend that the blue chip was preparing a bid for Aurinia, a specialist in autoimmune drugs. The newspaper’s report followed an article last month by Bloomberg, which said US drugs firm Bristol Myers Squibb was also interested in Aurinia.

The takeover rumours have helped Aurinia's share price rise by around 52% over the last month, giving it a market value of around $4.2bn.

But on Monday, a GSK spokesperson looked to halt the speculation, telling Reuters that the Mail on Sunday report was "not true".

Shares in Nasdaq-listed Aurinia were largely flat in pre-market trading as at 1030 GMT. GSK was ahead nearly 2% at 1,532.0p in London.

Aurinia’s drug Lupkynis, which was approved by the US Food and Drug Administration earlier this year, is used to treat kidney inflammation caused by Lupus. GSK has a similar drug, Benlysta, patents on which are due to expire in the next few years.