UK based Reckitt Benckiser to acquire Mead Johnson for $16.6 billion. The $90 a share takeover deal is expected to close by third quarter of 2017 after all the customary closing conditions are met.
The deal is worth $17.9 billion with debts of Mead Johnson included. Reckitt Benckiser will finance the acquisition with debt from Bank of America Merrill Lynch, Deutsche Bank and HSBC.
For the deal Reckitt Benckiser has Robey Warshaw and Bank of America Merrill Lynch as joint lead financial advisers. While Goldman Sachs and Morgan Stanley advised Mead Johnson.
The company dates back to a firm created by Edward Mead Johnson, one of the co-founders of Johnson & Johnson, who created his own business in 1895, which was renamed Mead Johnson & Company in 1905. The company was majority owned by Bristol-Myers Squibb after an acquisition in 1967, but was spun off in 2009 as an independent firm.
About Reckitt Benckiser
Reckitt Benckiser Group is a British multinational consumer goods company headquartered in Slough, England. It is a producer of health, hygiene and home products. It was formed in 1999 by the merger of the UK-based Reckitt & Colman and the Netherlands-based Benckiser.
RB’s brands include French’s Mustard, the antiseptic brand Dettol, the sore throat medicine Strepsils, the hair removal brand Veet, the immune support supplement Airborne, the air freshener Air Wick, Calgon, Clearasil, Cillit Bang, Durex, Lysol, Mycil and Vanish. It has operations in around 60 countries and its products are sold in almost 200 countries.