The household cleaning products giant this morning made a recommended 1,171p a share cash offer for SSL International, valuing the company at £2.5bn.
“The acquisition of SSL will provide a step change to Reckitt Benckiser's global health & personal care business, which has been a key driver of Reckitt Benckiser's net revenue growth and profit progression,” said Reckitt Benckiser CEO Bart Becht.
“The acquisition will add two new Powerbrands, with good further growth potential, to Reckitt Benckiser's current arsenal, making 19 Powerbrands in total.”
Added SSL International chairman Gerald Corbett: “This offer is some four times the level of SSL's share price five years ago. I believe few shares in investors' portfolios have done as well. Reckitt Benckiser is a well regarded company and I am sure our brands and people will be in good hands."
Healthy profits at Reckitt despite ‘weak flu season’ (28 April 2010)
Reckitt Benckiser chief Becht takes home £93m in 2009 (08 April 2010)