Clorox to Acquire Burt’s Bees

The acquisition of Burt’s Bees is strongly aligned with Clorox’s Centennial Strategy to pursue growth in areas aligned with consumer “megatrends” in health and wellness, sustainability, convenience and a more multicultural marketplace.

“This acquisition allows us to enter a growing market that’s consistent with consumer megatrends,” said Clorox Chairman and CEO Donald R. Knauss. “With this transaction, we’re entering into a new strategic phase for our company, enabling us to expand further into the natural/sustainable business platform. The Burt’s Bees brand is well-anchored in sustainability and health and wellness, and we believe it will benefit from natural and ‘green’ tailwinds. It’s in an economically attractive category with a margin structure that will be highly accretive to Clorox. Combined with our new Green Works line of natural cleaning products, and Brita water-filtration products, we can leverage Burt’s Bees’ extensive capabilities and credibility to build a robust, higher-growth platform for Clorox.”

Beth Springer, Clorox’s executive vice president – Strategy & Growth, who will oversee the business, said, “Burt’s Bees is a compelling strategic fit for us, and we believe we can expand on its strong trends over time to build even greater value. Burt’s Bees has a highly effective strategy and plan, strong trade practices and organizational capabilities, and a robust culture and esprit de corps that we want to leverage and protect. We strongly believe Clorox’s deep capabilities to drive demand creation through consumer communication and value-creating customer capabilities, coupled with Burt’s Bees’ strong heritage of innovation to delight consumers, create a right to win. We’re delighted Burt’s Bees president and CEO, John Replogle, will continue to lead the company, which will continue to be based in North Carolina.”