8-KOther Events

CHURCH & DWIGHT CO INC /DE/ 8-K Report (Oct 12, 2001)

Filed October 12, 2001For Securities:CHD

Summary

This 8-K filing from Church & Dwight Co., Inc. (CHD) details two significant transactions that occurred on September 28, 2001. The company made a $111.8 million cash contribution to acquire a 50% equity interest in Armkel, LLC, a new joint venture with affiliates of Kelso and Company, L.P. Armkel, in turn, acquired the consumer products business of Carter Wallace, Inc. This includes the antiperspirant and pet-care businesses, which Church & Dwight then acquired from Armkel for $128.5 million in cash, intending to integrate them into its existing product lines. Both acquisitions were financed through borrowings under a new credit facility established on the same date. Investors should note that the filing indicates that detailed financial statements and pro forma information for these acquisitions will be provided in a subsequent filing within 60 days. This report primarily focuses on the transaction structure, the entities involved, and the purchase prices.

Key Highlights

  • 1Church & Dwight acquired a 50% equity interest in Armkel, LLC for $111.8 million cash.
  • 2Armkel, a joint venture with Kelso and Company affiliates, acquired the consumer products business of Carter Wallace, Inc.
  • 3Church & Dwight subsequently acquired the antiperspirant and pet-care businesses from Armkel for $128.5 million cash.
  • 4The acquired businesses are intended to be added to Church & Dwight's existing consumer product lines.
  • 5Financing for these transactions was secured through borrowings under a new credit facility dated September 28, 2001.
  • 6Detailed financial statements and pro forma information for the acquisitions will be filed within 60 days.
  • 7Key transaction agreements, including the LLC Agreement and Product Line Purchase Agreement, are listed as exhibits.

Frequently Asked Questions

Church & Dwight made a $111.8 million cash contribution for its stake in Armkel, LLC, and then paid $128.5 million in cash to acquire the antiperspirant and pet-care assets from Armkel. The total immediate cash outlay mentioned in the filing is $111.8 million + $128.5 million = $240.3 million.

The acquisitions were financed through borrowings under Church & Dwight's credit facility dated September 28, 2001.

The filing states that the required historical financial statements and pro forma financial information related to these transactions will be filed not later than 60 days after the date this report (the 8-K) was required to be filed.

Church & Dwight acquired the antiperspirant and pet-care businesses from Carter Wallace, Inc., via the Armkel joint venture.