Reckitt in $1.4bn cash offer for Schiff Reckitt Benckiser has trumped Bayer's $1.2bn deal to buy Schiff Nutrition International, with a cash offer that sets up a potential bidding war between the UK and German groups. The UK consumer products maker on Thursday night announced a $42 a share offer for Schiff, the US vitamins and nutritional supplements company. The bid represents a 23.5 per cent premium over the $34 per share offer that Bayer and Schiff agreed on October 30. Reckitt's offer values Schiff at about $1.4bn. The German healthcare group has the option to match or outbid the Reckitt offer. Schiff would have to pay Bayer a relatively small break-up fee of $22m if their deal is not completed. Schiff is a leading manufacturer of vitamins, supplements and nutrition bars, with brands including MegaRed, Move Free and Airborne. Rakesh Kapoor, Reckitt chief executive, told the Financial Times he was "absolutely sure" the $42 per share offer would be "attractive to our shareholders." Should Reckitt prevail, it would be the company's first foray into the vitamins and supplements market. "We've been looking at this area for quite a while now," Mr Kapoor, said. We have a strategic focus on health and hygiene and this acquisition provides us an opportunity to enter another area. Mr Kapoor would not say whether Reckitt had been considering a bid for Schiff before the deal with Bayer was announced. Nor would he say what price Reckitt would ultimately be willing to pay if Bayer came back with a counter-offer. Bayer declined to comment. Schiff could not be reached for comment. Shares in Schiff were up 28.9 per cent to $43.72 in after-hours trading in New York. The price, slightly higher than Reckitt's offer, suggests investors expect a counterbid from Bayer. For Bayer, the deal for Schiff would strengthen its non-prescription drug business. Bayer's offer of $34 a share, representing four times annual sales, had been viewed by analysts as expensive. Schiff had annual sales of $259m in the last full year, with net income of $14m. But the vitamins, minerals and supplements market, estimated to be worth $30bn, is growing fast and the US is the sector's largest market. Reckitt is being advised by Morgan Stanley and receiving legal counsel from Paul, Weiss, Rifkind, Wharton & Garrison.