This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration. Need a new registration confirmation email? Click here
SALT LAKE CITY,
Oct. 30, 2012 /PRNewswire/ --Bayer HealthCare LLC has signed a merger agreement to acquire Schiff Nutrition International, Inc. (NYSE: SHF), a leading company offering vitamins and nutritional supplements in
the United States and other countries. Schiff's product portfolio includes core brands MegaRed®, Move Free® and Airborne®, among others. The transaction values Schiff at approx.
US$1.2 billion (approx. €920 million) representing
US$34 per share in cash. Closing is subject to customary closing conditions and is expected by year end 2012.
"Bayer is committed to augment its organic growth with strategic bolt-on acquisitions. This transaction represents an excellent strategic fit for our HealthCare business," said Dr. Marijn Dekkers, CEO of Bayer AG. "The Schiff business significantly enhances our presence and position in
the United States, which accounts for more over-the-counter and nutritional products sales than any other country in the world."
"We will utilize our extensive marketing, sales and distribution expertise to further develop the strong brands we are acquiring," said Dr.
Jorg Reinhardt, CEO of Bayer HealthCare. "We will also look to leverage Schiff's new technology platforms with innovation potential for other Bayer-owned brands and markets globally."
Tarang P. Amin, President and CEO of Schiff, said, "Schiff has a 75 year heritage of providing consumers with quality nutritional products. We are focused on building premium brands and leading innovation. We believe Bayer is well positioned to take our leading brands to the next level."
Schiff generated net sales of
US$259 million (approx. €200 million) for its fiscal year ended
May 31, 2012. On
September 18, 2012, Schiff publicly announced that net sales for fiscal year 2013 were projected to grow between 43 and 46 percent. Expected sales growth includes contributions from new products and brand building as well as Airborne®, which was acquired by Schiff on
March 30, 2012.
The company employs approximately 400 people with its headquarters and manufacturing site based in
Salt Lake City, Utah, as well as offices in
Emeryville, California. The Schiff portfolio includes strong brands in three of the largest health supplement segments including Joint Care (Move Free®), Cardiovascular Health
(MegaRed®) and Immune Support (Airborne®), among others. These products complement Bayer's existing OTC portfolio and will allow it to provide consumers with a broad range of options in these key segments.