13 September 12 15:22–Perrigo Company (Nasdaq:PRGO; TASE:PRGO) is expanding into veterinary medicine, with the acquisition of the assets of Sergeant’s Pet Care Products Inc. for $285 million in cash. Perrigo says that it expects to report a tax benefit of $50 million on the deal, which it expects to by the end of September.
Perrigo says that the US pet healthcare market totals $8 billion a year and has shown consistent growth through economic cycles. Consumers are treating their pets like members of the family and are spending a higher proportion of discretionary income on pet care and well-being. It adds that the acquisition fits in with its strategy to expand its consumer healthcare business.
Perrigo chairman and CEO Joseph Papa said, “This acquisition allows us to penetrate the pet care category by offering numerous flea and tick, health and well-being and consumable products to pet owners at affordable prices. Sergeant’s has a proven record of innovation, high quality manufacturing with great customer service.” He added, “This is a first step in executing on our strategy to expand our consumer healthcare portfolio into pet care, an adjacency of interest to our retail customers.”…Read More>>