In addition to a perpetual right to use the Braun brand and connected patents in the above categories, the transaction includes the acquisition of certain production assets and the inventory related to the above categories. It is anticipated that certain P&G employees, predominantly located in Germany, will become De’Longhi employees upon the closing of the deal. Ownership of the Braun brand will remain with P&G.
“This is an excellent transaction for Braun and Procter & Gamble,” said Dimitri Panayotopoulos, vice chairman of The Procter & Gamble Company. “De’ Longhi has a strong track record in developing premium household small appliances and is the perfect partner to accelerate growth of the Braun equity in these key categories. This will allow us to focus our in-house capabilities against driving and expanding our presence in the rapidly developing beauty and grooming appliance space.”
The Braun business associated with the transaction has revenues of approximately $260 million, mainly concentrated in European markets. Closing of the transaction is subject to approval from antitrust authorities.
“We are particularly proud to have reached an agreement with P&G in relation to the licensing of the household small appliances business of Braun,” said Fabio De’ Longhi, CEO of De’ Longhi. “This prestigious brand will allow us to enhance our equity story in the high end segment of the small domestic appliances market, characterized by a high degree of quality, innovation and design.”