Bayer HealthCare acquires US consumer health firm Citracal
By Our Corporate Bureau | 31 Aug 2007
The consumer care division of Bayer HealthCare, the healthcare and medical products subsidiary of Bayer AG, has signed an agreement with San Antonio-based family-owned pharmaceutical company Mission Pharmacal Company to acquire its global Citracal line of over the counter (OTC) calcium supplements, for an undisclosed amount.
The transaction, which is expected to close during the fourth quarter of 2007 subject to regulatory approvals, will increase Bayer consumer care's presence in the US, the world's largest OTC market, and strengthen the German company's substantial presence in the nutritionals business.
"Our consumer health businesses are a key component of Bayer HealthCare and we will continue to invest in this area in order to maintain a diversified portfolio," said Arthur Higgins, chairman, Bayer HealthCare.
Bayer HealthCare's brands include Bayer Aspirin, Flanax / Apronax, Alka-Seltzer Plus, Bactine, RID, Phillips' Milk of Magnesia, Midol, Alka-Seltzer, Talcid, Rennie, Canesten, One-A-Day vitamins, Supradyn, Redoxon, Berocca, Vital 50 Plus, CardioAspirin among other over the counter products for a wide range of ailments.
Bayer HealthCare plans to expand Citracal's brands, which are primarily sold in the North American markets, into other growth markets of Asia Pacific.
Gary Balkema, president, Bayer HealthCare's consumer care division, said, "The Citracal brand offers very attractive growth potential both in the critically important US market and for our nutritionals portfolio, which is a key growth driver for us now and in the future,"
Citracal is primarily sold in North America and saw net sales of $47 million for fiscal year 2007.
"With a strong entrepreneurial spirit, we have built the Citracal business by developing innovative products that fulfill unmet consumer needs and at the same time delivered solid growth and profitability. We believe that Bayer is in a strong position to continue the impressive growth already achieved for our brand under a new stewardship," said Neill B Walsdorf, Jr., president, Mission Pharmacal Company.