2017-02-10

By Martinne Geller LONDON (Reuters) – Reckitt Benckiser has agreed to buy U.S. baby formula maker Mead Johnson Nutrition for $ 16.6 billion, giving the British consumer goods company a new product line and expanding its presence in developing markets. Reckitt, the maker of Lysol cleaners, Durex condoms and Mucinex cold medicine, said on Friday it will pay $ 90 in cash for Mead Johnson shares, a 30 percent premium to their closing price the day before Reckitt said it was in advanced talks with the maker of Enfamil baby formula. Including Mead Johnson's debt, the deal is worth $ 17.9 billion and Reckitt Benckiser said it would finance the acquisition with debt underwritten by Bank of America Merrill Lynch, Deutsche Bank and HSBC.

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