ZURICH (MarketWatch) -- Nestle SA (NESN.VX) Monday confirmed it will buy Pfizer Inc.'s PFE, -0.60% infant nutrition business for $11.85 billion in a deal that would cement its leading position in the global baby-formula market.

"Infant nutrition has been at the heart of our company since it was founded in 1866. Pfizer Nutrition is an excellent strategic fit and this acquisition underlines our commitment to be the world's leading nutrition, health and wellness company," Nestle said in a statement Monday.