P&G Mulls Exit from Pharmaceuticals: Report

The consumer-products company has hired Goldman Sachs to identify potential buyers for its pharmaceuticals brands or find other ways to exit the business, according to a report.
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Procter & Gamble

(PG) - Get Report

is working to identify potential buyers for its pharmaceuticals brands or find other ways to exit the business, the

Financial Times

reports, citing people close to the matter.

The consumer products company, which makes Pampers diapers and Pringles potato chips, has hired

Goldman Sachs

(GS) - Get Report

as it looks to focus more heavily on high-growth businesses and divest non-key assets, according to the

Financial Times

.

The company's health-care division, which includes its pharmaceuticals business, reported earnings in 2008 of $2.5 billion on sales of $14.6 billion. The company's pharmaceuticals unit accounts for global sales of more than $2 billion.

P&G's pharmaceuticals business sells prescription drugs that focus on women's health and gastrointestinal and musculoskeletal problems.

CEO A.G. Lafley told analysts in December that company had stopped investing in new drug development and would consider divesting some of its key pharmaceuticals brands, the

Financial Times

notes.

Last week, P&G reported fiscal second-quarter earnings rose 53% to $5 billion, or $1.58 a share, including a gain of 63 cents a share, from the sale of its Folgers coffee business.

This article was written by a staff member of TheStreet.com.