Financial Times FT.com

Reckitt gains US foothold with £1bn deal

By Jenny Wiggins and Maggie Urry

Published: December 11 2007 02:00 | Last updated: December 11 2007 02:00

Reckitt Benckiser, the UK household goods maker, yesterday agreed to buy Adams Respiratory Therapeutics, a small US pharmaceuticals group, for £1.1bn ($2.3bn) as it outlined plans to build a global empire in over-the-counter drugs.

Adams, which owns cough and congestion drugs Mucinex and Delsym, gives Reckitt a foothold in the US. It now plans to expand sales of the two drugs overseas. Bart Becht, Reckitt's chief executive, described the acquisition as "a substantial step forward" for his company as it would allow Reckitt to use the skills gained in branding and marketing household products in the consumer healthcare business.

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