P&G-Gillette Merger: Impose More Sell-Offs, Rivals Tell EC

11 July 2005

The European Commission is under pressure to demand further brand divestments from Procter & Gamble and the Gillette Company before conferring its blessing on their intended $53 billion (€44.41bn; £30.53bn) nuptials - said to be the planet's largest consumer-products merger yet.

Unnamed rivals of both companies have complained to the EC that the disposals already tabled by the duo - most of which are in the dental care sector - are inadequate.

An anonymous competitor cites as an example of their piffling concessions - contemptuously dismissed as "worth a few hundred million dollars" - P&G's proposed sale of its battery-powered Crest SpinBrush range.

The EC on Friday set a self-imposed deadline of July 15, by which date it will decide either to greenlight the venture or subject it to an in-depth investigation of around four months duration.

Neither the EC or the wannabe happy couple would comment on the investigation or its likely outcome.

Data sourced from Wall Street Journal Online; additional content by WARC staff