GLENVIEW, Ill.--(BUSINESS WIRE)--While it is the longstanding policy of Mead Johnson Nutrition (NYSE:MJN) not to comment on market speculation or rumors, in response to media reports and a subsequent statement released by Reckitt Benckiser plc (RB), the company confirms that it is in discussions with RB with respect to its proposal to acquire the outstanding shares of MJN for $90 per share in cash.
Mead Johnson notes that no agreement has been completed, and there are no assurances that any transaction will result from these discussions. The company does not intend to make any additional comments regarding this matter unless and until a formal agreement has been reached or discussions have been terminated.
Mead Johnson remains committed to doing what is best for its shareholders, employees and, as always, the children, families and health care professionals around the world who trust and depend on its products and expertise.
This news release contains certain statements with respect to a possible transaction involving Mead Johnson and Reckitt Benckiser that are forward-looking as defined in the Private Securities Litigation Reform Act of 1995. These forward-looking statements may be identified by the fact they use words such as “should,” “expect,” “anticipate,” “estimate,” “target,” “may,” “project,” “guidance,” “intend,” “plan,” “believe” and other words and terms of similar meaning and expression. Forward-looking statements can also be identified by the fact that they do not relate strictly to historical or current facts. Such forward-looking statements are based on current expectations that involve inherent risks, uncertainties and assumptions that may cause actual results to differ materially from expectations as of the date of this news release. These risks include, but are not limited to: (1) the possibility that a possible transaction will not be pursued or fails to be consummated; (2) adverse effects on the market price of Mead Johnson’s common stock and on Mead Johnson’s operating results because of a failure to enter into or complete the possible transaction; (3) negative effects relating to the announcement of the possible transaction or any further announcements relating to the possible transaction or the entrance into or consummation of the possible transaction on the market price of Mead Johnson’s stock; (4) the ability to sustain brand strength, particularly the Enfa family of brands; (5) the effect on the company’s reputation of real or perceived quality issues; (6) the effect of regulatory restrictions related to the company’s products; (7) the adverse effect of commodity costs; (8) increased competition from branded, private label, store and economy-branded products; (9) the effect of an economic downturn on consumers’ purchasing behavior and customers’ ability to pay for product; (10) inventory reductions by customers; (11) the adverse effect of changes in foreign currency exchange rates; (12) the effect of changes in economic, political and social conditions in the markets where we operate; (13) changing consumer preferences; (14) the possibility of changes in the Women, Infants and Children (WIC) program or participation in WIC; (15) legislative, regulatory or judicial action that may adversely affect the company’s ability to advertise its products, maintain product margins, or negatively impact the company’s reputation or result in fines or penalties that decrease earnings; and (16) the ability to develop and market new, innovative products. For additional information regarding these and other factors, see the company’s filings with the United States Securities and Exchange Commission (the “SEC”), including its most recent Annual Report on Form 10-K, which filings are available upon request from the SEC or at www.meadjohnson.com. The company cautions readers not to place undue reliance on any forward-looking statements, which speak only as of the date made. The company undertakes no obligation to publicly update any forward-looking statement, whether as a result of new information, future events or otherwise.
About Mead Johnson
Mead Johnson, a global leader in pediatric nutrition, develops, manufactures, markets and distributes more than 70 products in over 50 markets worldwide. The company’s mission is to nourish the world’s children for the best start in life. The Mead Johnson name has been associated with science-based pediatric nutrition products for over 110 years. The company’s “Enfa™” family of brands, including Enfamil® infant formula, is a world leading brand franchise in pediatric nutrition.
For additional information on the company, you can go to www.meadjohnson.com.