Unilever agrees to sell its US and Canada oral care brands to Church & Dwight
Unilever today announced that it has signed a definitive agreement to sell its oral care brands in the United States and Canada to Church & Dwight of Princeton, NJ.
The transaction is expected to be completed in the fourth quarter of 2003, subject to regulatory approvals. Unilever will receive $104 million in cash at closing, plus additional performance-based cash payments of between $5 million and $12 million.
The sale includes, for the US and Canada, the Mentadent brand of toothpaste and toothbrushes, Pepsodent and Aim toothpaste, and exclusive licensing rights to Close-Up toothpaste. Sales of the business for the first six months of 2003 were $61 million.
This action is another milestone in Unilever's Path to Growth strategy, which includes paring down the number of brands in its portfolio regionally and globally, and focusing resources on the company's leading brands. As announced in the US last week, Unilever also reached an agreement to sell its Brut line of male personal care products in the Americas.
Unilever remains fully committed to its oral care business outside the US and Canada, where in many markets its brands hold leading or strong positions.
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This news release may contain forward-looking statements (within the meaning of the U.S. Private Securities Litigation Reform Act 1995). Any forward-looking statements are based on current expectations with respect to important risk factors. It is important to note that the actual results could materially differ from the results anticipated in any forward-looking statements which may be contained in this presentation. Factors which might cause forward-looking statements to differ materially from actual results include, among other things, the failure to complete the sale of DiverseyLever, changes in the financing markets, delays associated with regulatory approvals for the sale, overall economic, political, social and business conditions, the demand for our goods and services, competition in the market, fluctuations in interest rates and foreign currencies, the impact and other uncertainties of the sale of DiverseyLever or future acquisitions and disposals and any changes in the tax laws and other legislation and regulation, in the jurisdictions in which we operate.
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