Reckitt shoves aside Bayer as bids $1.4bn for Schiff Nutrition

 
City A.M. Reporter
UK CONSUMER and healthcare company Reckitt Benckiser made a rival $1.4bn offer for Schiff Nutrition International yesterday, topping Bayer AG’s agreed $1.2bn deal to acquire the U.S. vitamin maker.

Reckitt proposed to pay $42 for each Schiff share, a 23.5 per cent premium over the $34 per share that Bayer, Germany’s biggest drugmaker, agreed to pay in late October.

Shares of Schiff Nutrition surged nearly 30 per cent to $44 in after-hours trading in the US, higher than Reckitt’s rival offer and indicating investors expect the bidding to go higher.

Reckitt, which sells consumer health, hygiene and home products, said it will commence a tender offer on Friday to buy the vitamin maker, in an effort to enter the $30bn global market for vitamins, minerals and supplements.