Bayer swallows Schiff Nutrition

City A.M. Reporter
GERMAN pharma group Bayer is to buy US vitamins maker Schiff Nutrition International for an agreed $1.2bn (£747m) as it seeks stable sources of growth to complement its more volatile prescription drugs business.

Bayer said it was offering $34 per share in cash to Schiff shareholders, a 47 per cent premium over Friday's closing price.

The German group expects to benefit from Schiff’s strength in product development and brand recognition, and that the deal will close by the end of 2012. Bayer said it had support from investors representing more than half of Schiff's voting rights.