Warner Chilcott Takes Over P&G Pharmaceuticals Business

Warner Chilcott has completed the acquisition of The Procter & Gamble pharmaceutical business(P&G). The acquisition is expected to complement Warner Chilcott’s existing presence in women’s health care and add new therapeutic and geographic markets. At closing approximately 1,900 employees of P&G’s pharmaceuticals business joined Warner Chilcott and the company added manufacturing facilities in Germany and Puerto Rico.

To finance the acquisition, the company used a combination of cash on hand and borrowings under new senior secured credit facilities. The new senior secured credit facilities provided for $3.2 billion in financing and are comprised of a $250m revolving credit facility with a five-year maturity, a $1 billion term loan A with a five year maturity, a $1.6 billion term loan B with a five-and-a-half year maturity and a $350m delayed-draw term loan B with a five-and-a-half year maturity.

Roger Boissonneault, president and chief executive officer of Warner Chilcott said: “This is a transformational acquisition that extends our presence to include many of the major pharmaceutical markets around the World and significantly enhances the scale and diversity of our business. Importantly, the increased scale afforded by this deal provides us with the ability to pursue a broader range of R&D projects to fuel our long-term growth.”