SSL International, the company that makes Durex condoms as well as Scholl foot care products, said its board has accepted a £2.54 billion ($3.9 billion) takeover offer from Reckitt Benckiser.
Reckitt Benckiser said the offer represents a 33% premium over SSL's July 20 share price, according to the Associated Press. The bid values the company at 1,163 pence a share plus a final dividend for last year of eight pence.
"It is anticipated that the acquisition will increase Reckitt Benckiser's health and personal care net revenues by over 36 per cent to approximately 2.8 billion pounds, one-third of the group's total net revenues," said Bart Becht, chief executive officer of Reckitt Benckiser.
The acquisition would yield cost savings of £100 million a year by the end of 2012, Becht said.
Reckitt Benckiser, based in Slough, England, makes products including Vanish, Lysol and Clearasil.
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