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Unilever boosts oral hygiene offerings with two new toothpaste brands from P&G
Posted on Friday, 12 April 2019 12:50
Unilever has reached an agreement to acquire Fluocaril and Parogencyl, two toothpaste brands from Procter & Gamble (P&G) for an undisclosed amount.
The UK-headquartered consumer products group said the purchase of these two leading businesses in France and Spain, gives it a frontrunning position in oral care within the pharmacy channel.
Fluocaril offers oral care products to protect against cavities, while Parogencyl is focused on gum diseases, both have portfolios that are endorsed by health professionals.
Unilever said the two brands have a high reputation among dentists and strategically complement its existing oral care portfolio, with deodorants such as Dove, Rexona and Axe, as well as skincare lines including Sunsilk and Vaseline.
Closing is expected in Q2 2019 and comes days after the group purchased French derma-cosmetic brand Garancia.
Unilever also recently appointed a new president of beauty and personal care, hiring Sunn Jain from Amazon in March.
This sector generated revenue of EUR 20.60 billion for the group in the year ended 31st December 2018, representing a slight decrease from EUR 20.70 billion 12 months earlier.
Beauty and personal care represent 40.4 per cent of Unilever’s total revenue of USD 50.98 billion in 2018, compared to the foods and refreshment segment (39.6 per cent) and the home care division (19.8 per cent).
For P&G, the deal followed its EUR 3.40 billion acquisition of Merck’s consumer health business in November.
Shares in the US-headquartered business, which owns brands such as diaper maker Pampers, washing up liquid producer Ariel, paper towel group Bounty and hair care business Herbal Essences, to name but a few, closed up slightly to USD 104.75 following the announcement yesterday.
There have been 82 deals targeting soap, cleaning compound and toilet preparation manufacturers announced worldwide since the start of 2019, according to Zephyr, the M&A database published by Bureau van Dijk.
Interestingly, the largest of these involves Blackrock increasing its stake from 3.0 per cent to 4.0 per cent in Unilever for EUR 904.10 million.
© Zephus Ltd