P&G, Teva joint venture approved by EU watchdog

BRUSSELS Mon Nov 12, 2012 5:45am EST

BRUSSELS Nov 12 (Reuters) - U.S. consumer products maker Procter & Gamble and Israeli generic drugmaker Teva gained EU regulatory approval on Monday to set up a joint venture to sell over-the-counter medicines.

The companies are targeting $1.3 billion in annual sales from the joint venture, with the potential to grow to $4 billion in annual sales towards the end of the decade.

The European Commission said the transaction would not raise competition concerns because it would not significantly alter the market in remedies for conditions such as pain and arthritis, particularly in the Baltics.

"The Commission found that in all these markets the combined market shares of the parties remain relatively low and Procter & Gamble would continue to face sufficient competitive constraints," the EU watchdog said in a statement.

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