Key Takeaways
- • Unilever has agreed to sell Welly, its colorful-bandage brand, to private-equity firm Forward Consumer Partners, according to executives of the companies who spoke to The Wall Street Journal; financial terms were not disclosed.
- • The sale is part of Unilever's broader portfolio streamlining, which has included spinning off its ice-cream arm (now Magnum Ice Cream), selling its tea unit, divesting margarine and spreads brands, and agreeing to merge its food segment with McCormick.
- • Forward Consumer Partners, founded by former L Catterton partner Matt Leeds, plans to bring back Welly's founder, serial entrepreneur Ryan, as a strategic adviser and board member.
- • Welly sits within Unilever's beauty and well-being segment, alongside Dove, Vaseline and Liquid I.V.; the deal was set to be announced Monday.
Summary
Unilever has agreed to sell Welly, a brand known for its colorful bandages, to private-equity firm Forward Consumer Partners, according to executives of the companies who spoke to The Wall Street Journal. Unilever is not disclosing the terms of the transaction, which was set to be announced on Monday.
The divestiture is the latest step in Unilever's effort to streamline its portfolio. The company has been pivoting away from food and toward beauty, personal-care and home products. It spun off its ice-cream business, now known as Magnum Ice Cream, sold its tea unit and divested its margarine and spreads brands. Earlier this year it also agreed to merge its food segment with spice maker McCormick and agreed to acquire the supplements business Grüns for more than $1 billion. Welly had been part of the beauty and well-being segment, which also houses Dove soap, Vaseline jelly and Liquid I.V. drink powders.
As part of the transaction, Forward Consumer Partners is expected to bring back Ryan as a strategic adviser and board member. The serial entrepreneur previously co-founded the cleaning-products maker Method and the vitamin-and-supplements brand Olly, which was also sold to Unilever.
Forward Consumer Partners was started by former L Catterton partner Matt Leeds. Its portfolio includes Justin's peanut butter, Firehook crackers and Xochitl tortilla chips. The deal reflects a broader trend among food, beverage and consumer-products companies to refresh or divest dated brands while acquiring faster-growing upstarts that appeal to younger consumers.
The divestiture is the latest step in Unilever's effort to streamline its portfolio. The company has been pivoting away from food and toward beauty, personal-care and home products. It spun off its ice-cream business, now known as Magnum Ice Cream, sold its tea unit and divested its margarine and spreads brands. Earlier this year it also agreed to merge its food segment with spice maker McCormick and agreed to acquire the supplements business Grüns for more than $1 billion. Welly had been part of the beauty and well-being segment, which also houses Dove soap, Vaseline jelly and Liquid I.V. drink powders.
As part of the transaction, Forward Consumer Partners is expected to bring back Ryan as a strategic adviser and board member. The serial entrepreneur previously co-founded the cleaning-products maker Method and the vitamin-and-supplements brand Olly, which was also sold to Unilever.
Forward Consumer Partners was started by former L Catterton partner Matt Leeds. Its portfolio includes Justin's peanut butter, Firehook crackers and Xochitl tortilla chips. The deal reflects a broader trend among food, beverage and consumer-products companies to refresh or divest dated brands while acquiring faster-growing upstarts that appeal to younger consumers.
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