MILAN (Reuters) - Italian appliance maker De’ Longhi (DLG.MI) said Monday it bought perpetual rights to manufacture Braun branded products from Procter & Gamble (PG.N) in the small appliance segment, which has annual revenue of about 200 million euros.
Procter & Gamble will continue to own the Braun brand.
De’ Longhi will acquire “certain production assets” in Germany from Procter & Gamble, the Italian company said.
De’ Longhi will pay 50 million euros when the accord is finalized, and 90 million euros over the next 15 years.
It will also pay up to 74 million euros (at current value) on the basis of Braun sales over the first five years of the agreement.
Reporting by Jennifer Clark