EXCLUSIVE: Henkel Consumer Goods in Review
Steve’s breakdown: A Chicago source just told us about a Henkel review. We’re waiting on more details. If you have contacts over there, give them a ring immediately. If you need a contact, give me a ring.
As far as we can tell, brands that have AORs include Dial, Persil, Purex, Renuzit, Right Guard & Soft Scrub. There are dozens that have had agencies in the past.
PLUS: Henkel is going to acquire Sun Products Corporation from Vestar Capital Partners so we suspect laundry care brands like Snuggle, All & Sun will eventually go into review as well.
Here’s the official press release regarding the Sun acquisition dated June 26, 2016.
SCOTTSDALE, AZ: Henkel has signed an agreement to acquire all shares in the laundry and home care company The Sun Products Corporation, based in Wilton, Connecticut, USA, from a fund of Vestar Capital Partners. The transaction is valued at around 3.2 billion euros (3.6 billion US dollars) including debt.
“This transaction is a major strategic move for Henkel. North America is one of the most important regions for us worldwide. With the acquisition of Sun Products we will improve our position in the USA, the world’s largest laundry care market, and Canada,” said Henkel CEO Hans Van Bylen.
With the acquisition Henkel will advance to a No. 2 position in the laundry care market in North America.
Sun Products has a portfolio of leading laundry care brands, such as all® and Sun® as well as the fabric conditioner Snuggle®. The company also develops and manufactures laundry brands for leading retailers in North America. In fiscal 2015, the company generated sales of about 1.4 billion euros (1.6 billion US dollars) in the USA and Canada. Sun Products employs approximately 2,000 people and has two production sites and one R&D center in the USA.
“Sun Products will complement and strengthen our existing laundry and home care portfolio with well-established and successful brands in North America,” explained Bruno Piacenza, Executive Vice President and responsible for Henkel’s Laundry and Home Care business. “The Sun Products brands will enable us to further leverage Henkel’s innovation leadership and increase our relevance to trading partners in North America.”
The closing of the transaction is subject to regulatory approval and other customary closing conditions.