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S.C.Johnson & Son Inc. announced that it has agreed to acquire Drackett Co. from Bristol-Myers Squibb Co. for $1.15 billion.
Johnson apparently paid top dollar, beating out several other consumer products giants in acquiring Drackett. Those other bidders are believed to have included Clorox Co., Colgate-Pamolive Co., Dial Corp., and several foreign concerns
Wall Street had been anticipating a purchase price of about $900 million a week previous to the acquisition agreement announcement. The $1.15 billion purchase price is almost two times that of Drackett's 1991 revenues of about $600 million.
Richard M Carpenter, Johnson's president and C.E.O., said the agreement to acquire Drackett is "stratagic to our vision." Mr. Carpenter said he was particularly attracted to Windex, which holds 40% of the national market for window cleaners, saying that "we regard it as a flagship." Drackett's Vanish, with a 27% share, also is the market leader in its category; while Drano, with a 41% share,...