By Ian Walker
Reckitt Benckiser Group PLC said it is selling its infant-formula and child-nutrition business in China to Primavera Capital Acquisition Corp. for $1.3 billion net.
The consumer-goods company--which houses Dettol, Harpic and Durex among its brands--said Saturday the enterprise value of the deal is $2.2 billion.
The sale follows a review of the business in February, Reckitt said, adding that it will continue to hold an 8% interest in the unit.
The sale is expected to be completed in the second half of this year, it said.
Reckitt said it expects to incur tax costs of around 300 million pounds ($424.7 million) and other costs of GBP200 million. The net proceeds of the sale will be used to cut debt, it said.
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(END) Dow Jones Newswires
June 07, 2021 02:10 ET (06:10 GMT)Copyright (c) 2021 Dow Jones & Company, Inc.