Unilever has received clearance from the European Commission for its planned acquisition of the personal care and European laundry business of the Sara Lee Corporation. Unilever will complete the transaction in 2010.
However, due competition concerns in a number of deodorants markets, including Belgium, The Netherlands, Denmark, the United Kingdom, Ireland, Spain and Portugal, where the merger would remove an important competitive force, Unilever has undertaken to divest the Sanex brand and related business in the European market.
“We had to ensure that the transaction would not lead to increased prices for consumers. As Unilever offered a strong and clear-cut remedy to address the competition concerns in a number of deodorant markets, the Commission was able to clear the merger,” commented Commission Vice President in charge of Competition Policy Joaquín Almunia.
The final deal will therefore include the Radox, Duschdas, Badedas, Neutral and Monsavon toiletry brands, as well as, Zwitsal and Fissan in baby care and Prodent and Zendium in oral care, and Biotex in laundry.
“We are pleased to have received the green light from the European Commission for this deal and we look forward to adding these important brands to our business. Home and Personal Care is a key growth category and we are acquiring a number of leading brands that fill gaps in our portfolio, improve the shape of our overall European portfolio, while offering significant potential for development in other geographies,” said Doug Baillie, President of Western Europe at Unilever.
