Sara Lee Finds Buyer for Global Home Insecticide Business

SC Johnson has reached an agreement to acquire Sara Lee’s global household insecticides business.The deal—valued at approximately $188 million—includes Ridsect, Bloom, Catch, Cucal, Pyrel, Vapona, and Fumitox brands, which are sold throughout Asia, Europe, Russia and Africa.

“The binding offer for our remaining insecticides business moves Sara Lee one step closer to focusing exclusively on our core food and beverage businesses, where we have strong competitive positions,” said Marcel Smits, interim chief executive officer, Sara Lee Corp. “Receiving this offer from SC Johnson, one of the world’s leading manufacturers of household products, showcases the value in Sara Lee’s International Household and Body Care portfolio.”

“We are pleased that this deal, and the addition of the Ridsect, Bloom, Catch, Cucal, Pyrel, Vapona, and Fumitox brands, helps SC Johnson further extend its reach to even more families around the globe for whom pest control products provide invaluable health protection,” said SC Johnson chairman and chief executive officer Fisk Johnson.

Both parties expect the deal to be finalized by the end of the year.

SCJ said it is currently working on transition plans for the business.

In May, Sara Lee’s sold its 51% stake in Godrej Sara Lee, a joint venture that included its other insecticides business. In fiscal 2009, this business generated annual sales of approximately $112 million and accounted for approximately 6% of the adjusted operating segment income for the firm’s International Household and Body Care business.