Japan’s Suntory Beverage & Food is to buy GlaxoSmithKline’s Lucozade and Ribena brands for $2.11 billion (€1.6 billion) to broaden its soft drinks portfolio and help it expand into new markets.

The acquisition, announced by the companies today, had been widely anticipated since people close to the process said last week that Suntory was in advanced talks on a deal.

Japan's second-largest drinks maker has plenty of cash after an initial public offering in June that raised $4 billion. It was always seen as the most likely buyer for the brands after GSK announced plans in April for their disposal.

Suntory bought the Orangina Schweppes drinks brand for more than $3 billion in 2009.

GSK said it expected the sale to be completed by the end of the year, subject to regulatory approvals.

JP Morgan and Greenhill acted for GSK on the disposal.

Reuters