Pfizer said today that it has completed the sale of its consumer healthcare business to Johnson & Johnson for $16.6 billion.
“The proceeds from this sale, combined with our strong operating cash flow, give us the flexibility to invest in the growth of our core pharmaceutical business,” said Pfizer CEO Jeffrey Kindler in a statement.
The deal was announced last June and cleared the Federal Trade Commission last week after the two companies agreed to sell off several products to resolve concerns the acquisition would reduce competition in some product areas.
As part of that agreement, J&J will sell the rights to Pfizer’s Zantac heartburn treatment to Boehringer Ingelheim for $510 million. Additionally, Chattem, of Chattanooga TN, is to pay $410 million for the US rights to five J&J and Pfizer brands including Act mouthwash, Balmex diaper rash ointment, anti-diarrhea drug Kaopectate, sleep-aid Unisom and anti-itch treatment Cortizone.
Pfizer’s consumer healthcare division posted $3.9 billion in sales in 2005.