In January 2005 P&G announced an acquisition of Gillette, forming the largest consumer goods company and placing Unilever into second place. This added brands such as Gillette razors, Duracell, Braun, and Oral-B to their stable. The acquisition was approved by the European Union and the Federal Trade Commission, with conditions to a spinoff of certain overlapping brands. P&G agreed to sell its SpinBrush battery-operated electric toothbrush business to Church & Dwight. It also divested Gillette's oral-care toothpaste line, Rembrandt toothpaste. The deodorant brands Right Guard, Soft and Dri, and Dry Idea were sold to Dial Corporation.[6] The companies officially merged on October 1, 2005. Liquid Paper, and Gillette's stationery division, Paper Mate were sold to Newell Rubbermaid. In 2008, P&G branched into the record business with its sponsorship of Tag Records, as an endorsement for TAG Body Spray.[7]
P&G's dominance in many categories of consumer products makes its brand management decisions worthy of study.[8] For example, P&G's corporate strategists must account for the likelihood of one of their products cannibalizing the sales of another.[9]
On August 25, 2009, the Ireland-based pharmaceutical company Warner Chilcott announced they had bought P&G's prescription-drug business for $3.1 billion.[10]
P&G exited the food business in 2012 when it sold its Pringles snack food business to Kellogg's for $2.75bn after the $2.35bn deal with former suitor Diamond Foods fell short.[11] The company had previously sold Jif peanut butter and Folgers coffee in separate transactions to Smucker's