Perrigo announced October 29 that it has agreed to sell its infant formula business to MeridianMade for consideration of up to $175 million.
The agreement provides $40 million in cash at closing. Another $135 million depends on performance milestones through 2030, meaning the headline amount is not guaranteed proceeds.
The companies expect closing in the first half of 2027, subject to regulatory approvals and other customary conditions. Perrigo will continue owning and operating the business until closing, while the companies remain independent.
MeridianMade is an American contract-manufacturing platform focused on infant nutrition. The acquisition includes Perrigo’s store-brand formula business.
Perrigo expects an associated noncash impairment charge of $275 million to $375 million in the fourth quarter. It plans to classify infant formula as discontinued operations beginning that quarter.
For the four quarters ended June 27, the business generated $380 million in net sales and $8 million in adjusted operating income. Perrigo said the sale would reduce expected future capital spending; that remains a management expectation.
Sources: Perrigo — October 29 Sale Agreement Announcement: https://investor.perrigo.com/2026-10-29-Perrigo-Announces-Agreement-to-Divest-Infant-Formula-Business-to-MeridianMade