Breaking News

Henkel to Swap 29% Stake in Clorox

November 22, 2005

German consumer goods company Henkel
plans to swap its 29% stake in Clorox for a combination of Clorox’s operating businesses and its stake in a joint venture with Henkel and $2.1 billion in cash, executives reported.
Last year, Henkel, owner of the Persil brand in Germany and Schwarzkopf hair care and cosmetics, paid $2.9 billion for U.S. soap maker Dial. Henkel executives said the company planned to finance the Dial deal partially by divesting existing holdings in either Clorox or Ecolab.
By acquiring its own shares back, the possibility is removed that Clorox could have been purchased by a third party. Henkel will exchange its Clorox shares for a newly-formed subsidiary of Clorox that will hold a portfolio of operating businesses including Soft Scrub, Combat, Home Mat and Home Keeper. The businesses have aggregate sales of $160 million and are “highly profitable.” The deal will end the relationship between the two companies, including Henkel’s right to representation on Clorox’s board.
blog comments powered by Disqus
  • What's Next for the UK?

    Sarah Boumphrey, Euromonitor International||June 24, 2016
    Euromonitor weighs in on the implications for consumer product companies.

  • Henkel Grabs the Sun

    Henkel Grabs the Sun

    Ian Bell, Euromonitor International||June 24, 2016
    Euromonitor's Ian Bell on the impact the purchase will have on the US detergent industry.

  • To The Max

    To The Max

    Melissa Meisel, Associate Editor||June 20, 2016
    Velvet 59 is on the rise at locations like Ricky’s NYC.

  • Take Notice

    Take Notice

    Melissa Meisel , Associate Editor||June 1, 2016
    Packaging trends revolve around trendy artwork, eco-conscious materials—and portability is a plus too!

  • Virtual Reality

    Virtual Reality

    Christine Esposito, Associate Editor||June 1, 2016
    An update on nature-identical ingredients for cosmetics and personal care products.

  • Shiseido Advances in the US

    Shiseido Advances in the US

    Tom Branna, Editorial Director||June 1, 2016
    New facility in Windsor, NJ demonstrates its dedication to the US and other markets outside Japan.