Perrigo to sell Dermacosmetics for up to €327mln in cash and milestones.

• Perrigo sells Dermacosmetics branded business to KKR for up to €327 million • €300 million upfront cash and up to €27 million in future milestones • Expected net proceeds to strengthen balance sheet and support growth • Transaction advances Perrigo's 'Three-S' plan for streamlined portfolio • Focus on 'High-Grow' brands and capital allocation priorities

DUBLIN, July 14, 2025 /PRNewswire/ -- Perrigo Company plc (NYSE: PRGO), a leading global provider of Consumer Self-Care Products, has announced the sale of its Dermacosmetics branded business to Kairos Bidco AB, an investment vehicle managed by KKR, a leading global investment firm. The total consideration for the transaction is up to €327 million, consisting of €300 million in upfront cash and up to €27 million in potential future milestone payments.

The sale is part of Perrigo's 'Three-S' plan, which aims to stabilize, streamline, and strengthen the company's portfolio by focusing on high-growth brands. The Dermacosmetics business, which generated approximately €125 million in net sales in 2024, is expected to be sold to KKR by the first quarter of 2026, subject to customary closing conditions.

The expected net proceeds from the transaction will be directed towards strengthening Perrigo's balance sheet and supporting long-term value creation. The Dermacosmetics business includes trusted brands such as ACO, Biodermal, Emolium, and Iwostin.

Patrick Lockwood-Taylor, President and Chief Executive Officer of Perrigo, stated, "This transaction marks another significant milestone in the execution of our 'Three-S' plan. By sharpening our focus on core self-care categories that align with our One Perrigo model, we are enhancing our ability to drive sustainable growth and deliver greater value to consumers, customers, and shareholders."

Inaki Cobo, Partner at KKR, commented, "We are pleased to announce the acquisition of Perrigo's Dermacosmetics business, home to trusted brands and high-quality products. We've been impressed by the talented team behind its success and the strong and loyal market reputation they've built. This acquisition aligns with KKR's strategy of investing in resilient, growth-oriented consumer health platforms."

The transaction is expected to close in the first quarter of 2026, subject to regulatory approvals and consultation with works council. Greenhill & Co., an affiliate of Mizuho, is serving as financial advisor to Perrigo, and Latham & Watkins is serving as legal advisor.

References:
[1] https://www.prnewswire.com/news-releases/perrigo-announces-agreement-to-divest-dermacosmetics-business-for-up-to-327-million-302504253.html