FTC OKs Nabisco Unit Sale to Philip Morris

The Federal Trade Commission approved the sale of Nabisco Holdings Corp. to Philip Morris Cos. on the condition the firms make five divestitures in overlapping product lines. The companies must sell Royal Brand gelatin dessert mix, Royal Brand dry mix pudding, Royal Brand no-bake dessert and Davis & Fleischmann’s baking powder and Icebreaker mints. The divestitures must be completed within 10 business days of the time they complete the merger. Shareholders of both firms approved the deal Oct. 27. Nabisco Holdings, a unit of Nabisco Group Holdings, makes Oreo cookies, Ritz crackers, Lifesavers candies and Grey Poupon mustard. Philip Morris, the world’s largest tobacco company, is the world’s No. 2 food company behind Swiss giant Nestle. Philip Morris rose 63 cents to close at $39.69, while Nabisco Holdings fell 6 cents to close at $29.44, both on the New York Stock Exchange.