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Church & Dwight Completes Acquisition
Posted: July 7, 2008Church & Dwight Co., Inc. announced that it has completed its previously announced acquisition of the Del OTC pharmaceutical business from Coty Inc.
"The Orajel brand will be a great addition to the Church & Dwight family," said James R. Craigie, chairman and CEO, Church & Dwight. "We are excited to expand our personal care portfolio and strengthen our presence in the strategic oral care category."
The transaction was completed substantially under the original terms announced on April 1, 2008, which called for Church & Dwight to pay $380 million in cash at closing. The purchase price was financed with a $250 million addition to its bank credit facility and available cash.
As previously announced, the acquisition is expected to have a neutral impact on 2008 earnings per share, due primarily to one-time integration costs and the step-up of inventory. "We expect it to be accretive in 2009 and contribute meaningfully to earnings and free cash flow," said Craigie.