OTC pharmaceuticals and consumer products manufacturer Perrigo Company (NYSE:PRGO; TASE:PRGO) today announced that it has signed a binding offer to acquire consumer self-care company, from funds affiliated with private equity firm Astorg and Goldman Sachs Asset Management for $2.1 billion in cash.
HRA is a fast-growing over-the-counter OTC company, with three category-leading self-care brands in blister care (Compeed), women's health (ellaOne) and scar care (Mederma). Perrigo said that the acquisition will consolidate its position in consumer self-care, bolster its presence in high-potential European markets and meaningfully improve its already strong operational and financial profile.
Perrigo president and CEO Murray Kessler said, "Over the last two and one-half years, we have been on a journey to transform Perrigo into a focused and high-performing consumer self-care company, all while delivering a successful track record of well executed acquisitions and divestitures. The acquisition of HRA would be the crowning achievement in that transformation. With the addition of HRA and its talented leadership team, Perrigo would be a consumer self-care global leader that is poised to deliver top tier net sales growth and double-digit EPS growth in the near-term while concurrently expanding margins.
He added, "Importantly, HRA's focused portfolio of fast-growing self-care brands, which are market share leaders in growing categories, would be accretive to Perrigo's 3% revenue growth goal. And, HRA's expertise in migrating products from prescription to OTC would represent even further upside. The complementary geographic footprint of HRA to that of Perrigo would allow for significant and actionable synergies. And it is the totality of these factors that makes the combination of Perrigo and HRA strategically and financially compelling. It's literally a one-of-a-kind opportunity to simultaneously enhance our financial profile, while driving even greater value for consumers, shareholders and the communities in which we work and live."
Published by Globes, Israel business news - en.globes.co.il - on September 8, 2021
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