Good medicine: Japanese brewer to buy Blackmores for $2b
Japanese brewing giant Kirin has struck a deal to take over Australian vitamin-maker Blackmores for nearly $2 billion.
Blackmores has been sold to Japanese brewer Kirin for $2 billion (AAP Image/Joel Carrett)
Kirin Holdings announced on Thursday it had entered into an agreement with ASX-listed Blackmores to buy out the company for a total cash consideration of $95 per share.
The bid would value the company at $1.88 billion, a near-25 per cent premium on its previous closing price.
The deal has the endorsement of Blackmore’s board and its largest shareholder, Marcus Blackmore, whose father Maurice established the vitamins firm in 1932.
Mr Blackmore said Kirin would be a strong “brand custodian” for Blackmores and it was committed to research, development and international growth for the brand.
“I believe this presents the next evolution of the business my father founded 90 years ago,” he said.
The acquisition will need the formal approval of shareholders and clearance from the Australian consumer watchdog and the Foreign Investment Review Board.
In addition to its global beer business, which includes Australian brands XXXX, Hahn and Tooheys, Kirin also operates growing pharmaceuticals and health care operations.
