Reckitt Benckiser Moving Ahead with Potential $7B Sale of Infant-Formula Business – WSJ
2022.05.27 16:31
Reckitt Benckiser (RGBLY) Moving Ahead with Potential $7B Sale of Infant-Formula Business – WSJ
U.K.-based Reckitt Benckiser Group (OTC:RBGLY) is moving ahead with the potential multibillion-dollar sale of its infant-formula business, the Wall Street Journal reported Friday, citing people familiar with the matter. The company makes the popular Enfamil baby formula.
First-round bids kicked off this week, and bidders included private equity firm Clayton Dubilier & Rice.
The report added that Reckitt Benckiser’s unit could be worth around $7 billion in a sale, citing bankers.
The sale comes as the infant-formula industry has been rocked by shortages that have spread to the U.S., exasperated by a shutdown of a Sturgis, Michigan plant by rival Abbott (NYSE:ABT) amid concerns of contamination.
