In Brief: P&G/Tambrands
This article was originally published in The Rose Sheet
Executive Summary
P&G/Tambrands: Procter & Gamble to acquire White Plains, N.Y.-based Tambrands and its sole product, Tampax tampons for $1.85 bil., the companies announced April 9. Tambrands, the market leader in the tampon field, reported sales of $662.1 mil. in 1996. Under the deal, Tambrands shareholders will receive $50 per share. P&G said it will fund the acquisition with cash and short-term loans. If approved by shareholders and given Federal Trade Commission clearance, the deal would serve to enhance P&G's already strong feminine protection offerings, which include the pads and pantyliner brands Always and Whisper. P&G plans to increase distribution of Tampax, on the retail and international levels, and increase marketing efforts, the company said. In addition, P&G said it will "improve existing products and develop new ones." At present, Tambrands will continue to operate as a separate business under P&G's paper products division, P&G noted...