Perrigo to sell Infant Formula business to MeridianMade for up to $175 million

Perrigo Company plc disclosed in an October 29, 2026 Form 8-K that it has signed a definitive agreement under which MeridianMade, an American contract manufacturing platform focused on infant nutrition, will buy Perrigo's Infant Formula business for total consideration of up to $175 million.¹ Perrigo would receive $40 million in cash at closing, with up to an additional $135 million contingent on meeting future performance milestones through 2030.¹

Perrigo said the move supports the "Streamline" portion of its "Three-S" plan, and CEO Albert Manzone called it "an important milestone in advancing the Streamline pillar of our Three-S plan to Stabilize, Streamline, and Strengthen the business."¹

Until the transaction closes, Perrigo's Infant Formula unit and MeridianMade will remain separate companies, with Perrigo continuing to run the business with its existing focus on safety, quality, supply reliability, and customer service.¹ Closing is expected in the first half of 2027,¹ subject to customary closing conditions and regulatory approvals.¹

On the numbers, Perrigo reported that for the twelve months through June 27, 2026, the Infant Formula segment produced $380 million in net sales and $8 million in segment adjusted operating income.¹ The company also said it expects a non-cash impairment charge in the fourth quarter of 2026 of between $275 million and $375 million¹ tied to the deal. Reporting treatment will shift as well: Infant Formula will still appear in All In results for the third quarter of 2026, then move to discontinued operations starting in the fourth quarter of 2026.¹

Perrigo said the sale is expected to meaningfully cut its future capital spending needs.¹ Goldman Sachs and A&O Shearman advised Perrigo, while Jefferies LLC and Sullivan and Cromwell LLP advised MeridianMade.¹