Tambrands Inc. thrived during 60 years as an independent company and built a market-leading position with its sole product, Tampax tampons, despite stiff competition from rivals Playtex and Kimberly-Clark.
Now, Procter & Gamble Co. is swallowing Tambrands to take aim at a potentially lucrative global market. P&G; on Wednesday announced a $1.85 billion purchase of Tambrands that will allow P&G; to apply its worldwide marketing and distribution networks as it enters the tampon market with an established brand.
That will build on the success of Tampax and let it reach its potential, said Edward T. Fogarty, Tambrands’ chairman, president and chief executive officer.
“In today’s intensely competitive market, where global scale and efficiencies are increasingly critical, we believe this transaction is in the best interest of Tambrands shareholders,” Fogarty said.