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EU Clears €3.4 bn P&G Deal For German Merck's Consumer Health Business Unit

Published on Aug 28 2018 2:00 PM in A-Brands tagged: EU / P&G / Acquisition / Merck

EU Clears €3.4 bn P&G Deal For German Merck's Consumer Health Business Unit

EU antitrust regulators have approved Procter & Gamble's €3.4 billion ($3.9 billion) acquisition of Merck KGaA's consumer health unit, saying on Tuesday that they had no competition concerns.

The takeover would add vitamin brands such as Seven Seas to a P&G portfolio that includes Pampers diapers and Gillette razors, while boosting its presence in Latin America and Asian markets.

A Wave Of Consolidation

The sector has undergone a wave of consolidation in recent years as companies bulk up product ranges and businesses in other markets, but the European Commission said that a preliminary review of the deal found no serious issues.

"The transaction gives rise to a limited number of horizontal overlaps for which the Commission found, following its market investigation, that sufficient competition will remain after the transaction," the Commission said in a statement.

In July, the company's quarterly sales fell below Wall Street estimates following a disappointing performance at its grooming unit, which makes Gillette razors and shaving products.

News by Reuters, edited by ESM. Click subscribe to sign up to ESM: European Supermarket Magazine.

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