Reckitt Benckiser agrees SSL buyout and considers smaller disposals

In the latest of a spate of takeover deals, Reckitt Benckiser, the group behind brands including Cillit Bang, Lemsip and Nurofen, has agreed a £2.5 billion buyout of SSL, owner of Durex condoms and Scholl shoes.

Reckitt boss Bart Becht, said that today's deal added two 'power brands' to the Anglo-Dutch company's portfolio, both of which had potential for further growth.

The agreement also increases Reckitt's exposure to the growing health and personal care market as well as increasing its presence in China - SSL operates the world's largest condom factory in Qingdao.

Reckitt now looks set to start a review of SSL in the autumn to identify which of its businesses should be sold or kept. The company could be gearing up to offload Scholl now that the deal has gone ahead.

Sales of Scholl's shoes were up 7.4 per cent at £105.9 million in the first three months of the year. Divisional profits were not disclosed, but a sale would likely bring in hundreds of millions of pounds.

SSL owns a number of small, locally-owned brands such as Mister Baby, a baby products manufacturer operating in Southern Europe. SSL may also be looking to sell of some of these smaller brands at some point in the future.

Share this article

Latest Businesses for Sale

View more businesses for sale