P.M. BRIEFING : Procter & Gamble Sues Spanish Firm
Procter & Gamble Co. said today it has begun legal action against Camp, the Spanish cleaning-products company, following reports that Camp had been sold to a West German company despite a signed sales agreement with Procter valued at 31.7 billion pesetas, or $264.1 million.
Procter & Gamble’s Spanish representative, Eduardo Baeza, said the household products manufacturer based in Cincinnati had concluded a sales agreement with Camp in June that included a down payment of 1.5 billion pesetas. Baeza, calling the situation “an authentic financial scandal,” said Procter & Gamble learned today from press reports of the sale of Camp to a West German firm for 36 billion pesetas.
Baeza said the purchase agreement with Procter & Gamble included the stipulation that Camp would not talk or negotiate with other interested buyers.