* Teva, P&G provide details on new OTC medicine JV
* JV to be called PGT Healthcare
* P&G to close some manufacturing plants
Nov 3 (Reuters) - Consumer products maker Procter & Gamble Co and Israeli drugmaker Teva Pharmaceutical Industries Ltd on Thursday gave details of a joint venture they have created to sell over-the-counter medicines.
The joint venture, which was initially announced in March, will combine Teva’s expertise in drug marketing with P&G’s expertise in branding to expand their presence in the $200 billion consumer healthcare industry.
The venture will be known as PGT Healthcare and the companies said in a statement it “will focus on best-in-class development and state-of-the-art commercialization of branded OTC medicines.”
Teva will bring broader pharmacy distribution, including its pharmacy sales force and pharmacy relationships to P&G’s leading brands, which include Vicks, Metamucil and Pepto-Bismol.
Teva’s portfolio of products includes vitamins, minerals, medicated skin products and, potentially, prescription drugs that in future may be sold over the counter.
The partnership will start off with $1.3 billion in annual sales with the potential to grow to $4 billion in annual sales toward the end of the decade, the companies said.
In connection with the formation of the joint venture, P&G has sold its OTC plants in Greensboro, North Carolina, which produces Vicks, and in Phoenix, Arizona, which produces Metamucil. It will transfer the employees of both plants to Teva.
Teva will be the manufacturer and supplier for the PGT Healthcare business and P&G’s North American OTC business.
The venture will be based in Geneva, Switzerland, and will operate in all markets outside the United States. The partnership will also develop new brands for the North American market.