C&D purchases Del Pharmaceuticals from Coty for $380 million
PRINCETON, N.J. The stewardship behind Del Pharmaceuticals will be changing for the second time in three months as Church & Dwight announced its acquisition of the OTC business from Coty, which in turn had acquired Del in December, Tuesday morning in a cash deal valued at $380 million.
The transaction, which is subject to regulatory approval and other customary conditions, is expected to close in July 2008.
Del Pharmaceuticals’ net sales in the fiscal year ended Dec. 31 were approximately $100 million, C&D stated. More than 75 percent of those sales were derived from the Orajel brand, the leading brand in the oral analgesic category.
“Orajel is a great addition to our existing portfolio and provides access to a fast-growing segment of the attractive premium oral care category,” stated James Craigie, C&D chairman and chief executive officer. “Orajel also brings to our company a powerful franchise that has developed great consumer loyalty. This transaction is consistent with our growth strategy of strengthening our businesses by adding No. 1 or No. 2 brands in areas of high growth potential with gross margins that are accretive to the overall company.”
The Orajel products are expected to be integrated into existing Church & Dwight manufacturing facilities by the end of 2009.