Perrigo to buy formula maker for $808M

Perrigo Co., the largest U.S. maker of store-brand over-the-counter drugs, said Tuesday it is buying infant formula maker PBM Holdings Inc. for $808 million in cash.

PBM, based in Gordonsville, VA., is a privately held maker of over-the-counter, store brand infant formula and baby food.

Perrigo expects the buyout to add $300 million to sales during the first fiscal year, along with 10 cents per share in profit.