Bayer AG agreed to buy Merck & Co.’s consumer unit for $14.2 billion, solidifying its position near the top of the market for over-the-counter health products.

Merck and Bayer also will collaborate to develop and market a class of drugs that includes Bayer’s Adempas, which is approved to treat a deadly lung disease, they said in a statement today. Merck will pay Bayer $1 billion for the collaboration, with additional payments possible if sales goals are met.

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