NEW YORK (CNNfn) - PepsiCo Inc. completed its $13.8 billion acquisition of Quaker Oats Co. Thursday, ending a nine-month battle that hinged on obtaining clearance form U.S. regulators.|
The combined firm will retain the name PepsiCo and have combined revenue of $25 billion and gain the much-valued Gatorade sports drink.
"Quaker brings to PepsiCo a very wide range of benefits that touch virtually every one of our businesses," PepsiCo Chairman and CEO Steve Reinemund said.
PepsiCo said it expects to issue about 306 million shares to Quaker shareholders, who will receive 2.3 PepsiCo shares for each Quaker share.
The Federal Trade Commission ended its probe of the PepsiCo-Quaker deal Wednesday. Regulators were concerned that PepsiCo's acquisition of Quaker's Gatorade, which holds an 80 percent share of the sports drink market, would create a monopoly.
PepsiCo agreed to buy Quaker in December. In June, both companies indicated the merger would be delayed at least until the third quarter as discussions with the FTC continued.
Earlier this month, CNNfn.com learned that FTC staff attorneys were recommending that regulators vote to block PepsiCo's purchase of Quaker, due to competition concerns.