Warner Chilcott, a drugmaker that specialises in contraceptives and female hormone treatments, will buy Procter & Gamble pharmaceuticals business for $3.1 billion, the companies said today.
P&G's branded drugs have annual sales of $2.3 billion. Warner-Chilcott's annual revenue totals about $1 billion.
'The acquisition transforms Warner Chilcott into a global pharmaceutical company,' the company said.
Cincinnati-based P&G, best known for its vast array of household consumer products such as Tide detergent and Crest toothpaste, said it was selling its branded medicines to 'prioritise' investments in its consumer health care businesses.
The companies said the majority of the 2,300 employees in P&G's pharmaceuticals unit are expected to transfer to Warner Chilcott.
'For Warner Chilcott, the acquisition expands its presence in existing specialty pharmaceutical markets and provides access to new physician offices in 14 countries,' the companies said.
Warner Chilcott said it expects the deal to close in November and be financed through borrowings.
