By Lisa Kerner
Charlotte, N.C., Dec. 10 - Reckitt Benckiser Group plc will acquire Adams Respiratory Therapeutics Inc. for $60 per share in a deal valued at $2.3 billion, the companies announced on Monday.
Under the companies' agreement, Reckitt Benckiser will begin a tender offer for Adams' shares within 20 business days. The tender is slated to end in January or early February.
Both companies' boards of directors have approved the transaction.
"The acquisition of Adams Respiratory Therapeutics is another step forward in Reckitt Benckiser's growth strategy in consumer health care," Reckitt Benckiser chief executive officer Bart Becht said in a company news release.
"Adams will add to our portfolio a new, rapidly growing powerbrand in Mucinex, a market and innovation leader in cough and congestion relief in the United States."
The merger will also provide Reckitt Benckiser with entry into the U.S. over-the-counter drug market.
Reckitt Benckiser was advised by Merrill Lynch and Arnold & Porter LLP, while Adams was advised by Morgan Stanley and Alston & Bird LLP.
Adams is a specialty pharmaceutical company based in Chester, N.J.
Reckitt Benckiser is a household cleaning, health and personal care company based in Slough, England. The company's brands include Lysol, Electrasol, Woolite, Veet and Gaviscon.
| Acquirer: | Reckitt Benckiser Group plc
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| Target: | Adams Respiratory Therapeutics Inc.
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| Announcement date: | Dec. 10
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| Transaction total: | $2.3 billion
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| Price per share: | $60.00
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| Expected closing: | Upon approvals
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| Stock price of target: | Nasdaq: ARXT: $43.68 on Dec. 7
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