8-KOther Events

CHURCH & DWIGHT CO INC /DE/ 8-K Report (Jun 7, 2004)

Filed June 7, 2004For Securities:CHD

Summary

Church & Dwight Co., Inc. has announced a significant strategic acquisition, completing the purchase of the remaining 50% ownership interest in Armkel, LLC for $253.65 million. This move consolidates full ownership of Armkel's portfolio of consumer products, including well-known brands such as TROJAN condoms, NAIR depilatories, and FIRST RESPONSE and ANSWER home pregnancy/ovulation tests. The acquisition was financed through a new credit facility totaling $540 million, comprising two term loans, and an undrawn revolving credit facility. Following the transaction, Armkel and related entities were merged into Church & Dwight, with the company assuming Armkel's outstanding debt, including $225 million in Senior Subordinated Notes. This acquisition significantly expands Church & Dwight's brand portfolio, particularly in the personal care and health testing categories, and positions the company for enhanced integration and growth across these product lines. Investors should note that detailed financial statements and pro forma information related to this acquisition will be provided in a subsequent filing.

Key Highlights

  • 1Church & Dwight acquired the remaining 50% of Armkel, LLC for $253.65 million, gaining full ownership of its brands.
  • 2Armkel's key brands include TROJAN condoms, NAIR depilatories, and FIRST RESPONSE/ANSWER pregnancy tests.
  • 3The acquisition was financed by a new $540 million credit facility, including term loans and a revolving credit facility.
  • 4Church & Dwight assumed Armkel's existing debt, including $225 million in 9 1/2% Senior Subordinated Notes due 2009.
  • 5Armkel and related entities were merged into Church & Dwight, consolidating operations.
  • 6The acquired brands are now wholly-owned by Church & Dwight, expanding its consumer product portfolio.
  • 7Detailed financial statements and pro forma information for the acquisition will be filed later via amendment.

Frequently Asked Questions

The primary purpose of this 8-K filing is to report Church & Dwight's acquisition of the remaining 50% ownership interest in Armkel, LLC, and the related financing arrangements.

Church & Dwight paid $253,650,000 for the 50% ownership interest in Armkel, LLC.

As a result of this acquisition, Church & Dwight now fully owns the brands previously marketed by Armkel, including TROJAN condoms, NAIR depilatories, and FIRST RESPONSE and ANSWER home pregnancy/ovulation test kits.

The acquisition was financed through a new credit agreement that includes a $100 million five-year term loan, a $440 million seven-year term loan (which can be increased), and a $100 million revolving credit facility. The proceeds were used to fund the acquisition, pay down existing Armkel debt, and refinance Church & Dwight's own credit facility.

Yes, following the merger of Armkel into Church & Dwight, the company assumed all of Armkel's obligations, including $225 million principal amount of 9 1/2% Senior Subordinated Notes due 2009.