Private equity groups Advent International and Apollo Global are among firms considering a potential buyout of consumer goods company Reckitt's homecare assets, Bloomberg News reported, citing people familiar with the matter.
Britain-based Reckitt announced plans in July to divest its home care portfolio, which includes Air Wick air fresheners and Cillit Bang cleaner, by the end of 2025.
The London-listed company is working with Morgan Stanley to sell its brands, targeting a valuation of more than £6 billion (€7.2 billion), according to the report.
Interested Parties
Clayton Dubilier & Rice and PAI Partners are also among interested parties for the British firm's assets, the report added.
Reckitt, which has also been considering options for its Mead Johnson Nutrition business, plans to refocus on its healthcare and hygiene as part of the broad organisational review.
Apollo did not immediately respond to a Reuters request for comment.
PAI Partners and Advent International declined to comment on the report.
Quarterly Performance
Reckitt reported a smaller than expected fall in third-quarter underlying sales, helped by more shoppers buying its health products, which include Nurofen painkillers and Strepsils lozenges.
Its quarterly like-for-like net sales fell 0.5%, ahead of the 1.7% decline analysts had expected in a company-supplied poll.
Price/mix, a metric that reflects how much Reckitt sold its products for, rose 0.9% while volumes declined 1.4%, weakened by Reckitt's nutrition business. Analysts expected the price/mix to rise by 1.4% and volumes to fall by 3.1%.
Reckitt, which also owns the Dettol and Lysol cleaning brands, said it was on track to meet full-year targets.
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