P&G to acquire Gillette for $57bn

Procter & Gamble is to buy Gillette for $57bn (£30.2bn) and create the world's largest stable of consumer brands.

P&G - whose nearly 300 consumer brands include Wella shampoos and Pampers nappies - and Gillette are both American business icons.

The deal will be paid for mainly in P&G shares, and involves 6,000 job cuts, 4% of the combined workforce of 140,000.

On Wall Street, shares in Gillette closed up nearly 13% on Friday, while P&G slid 2.1%.

The merger will make P&G the world's biggest household goods maker, pushing Unilever into second place.

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American icons

The tie-up of the two US giants creates a company with group sales topping $60bn a year.

Between them, they share 21 brands that each boast annual sales of more than $1bn - five of Gillette's brands and 16 of P&G's are blockbusters.