updated 7/13/2007 8:03:25 AM ET 2007-07-13T12:03:25

Energizer will buy Playtex for about $1.16 billion, the company said Thursday.

Energizer Holdings, Inc. is offering $18.30 per share in cash.

The offer price represents an 18 percent premium over Playtex's closing stock price Thursday. The transaction was approved unanimously by the boards of directors of both companies. Playtex, according federal filings, had 63.46 million shares outstanding as of April 30.

Energizer is also assuming an undisclosed amount of debt in the deal, which it said would boost total purchase price to $1.9 billion.

Westport, Conn.-based Playtex Products, Inc. makes skin and infant care products. Energizer is one of the world's largest manufacturers of batteries and flashlights. It is also the parent company of Schick-Wilkinson Sword, the second largest manufacturer of wet shave products in the world.

"Playtex has strong consumer brands, most of which have No. 1 or No. 2 market positions, in stable or growing personal care categories," said Energizer Chief Executive Ward Klein. "Its products enjoy healthy margins with strong, predictable cash flows, similar to our existing stable of consumer and personal care products."

Energizer, based in St. Louis, anticipates that the acquisition will boost its fiscal 2008 results.

Playtex sales for its most recently reported 12 months through March 2007 totaled $641 million.

Playtex shares closed 2 percent higher at $15.52 Thursday, while Energizer's stock rose $1.56, or 1.5 percent, to $106.73.

Copyright 2007 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.


Discussion comments


Most active discussions

  1. votes comments
  2. votes comments
  3. votes comments
  4. votes comments

Data: Latest rates in the US

Home equity rates View rates in your area
Home equity type Today +/- Chart
$30K HELOC FICO 3.79%
$30K home equity loan FICO 4.99%
$75K home equity loan FICO 4.69%
Credit card rates View more rates
Card type Today +/- Last Week
Low Interest Cards 13.83%
Cash Back Cards 17.80%
Rewards Cards 17.18%
Source: Bankrate.com