GSK to sell oncology arm to Novartis for $16bn

 British pharmaceutical giant GlaxoSmithKline is to sell its oncology business to peer Novartis for $16 billion and to buy the Swiss company's vaccines division, GSK announced on Tuesday.Under a "major three-part transaction" GSK and Novartis have agreed also to create a consumer healthcare business, according to a statement issued by GlaxoSmithKline.US pharmaceutical giant Eli Lilly has also reached an agreement to acquire the animal health division of Novartis of Switzerland for $5.4 billion (3.9 billion euros).In a statement Eli Lilly said the deal will strengthen and diversify its animal health unit, Elanco, and make it the world's second largest in the sector in terms of global revenue.Under the terms of the agreement, Lilly will acquire all assets of Novartis Animal Health for a total purchase price of approximately $5.4 billion, including anticipated tax benefits, Eli Lilly said.It plans to fund this acquisition with approximately $3.4 billion  of cash-on-hand and $2.0 billion in debt to be issued.No other financial terms of the transaction were disclosed.