Unilever is selling some of its beauty brands as pressure increases following a bout of poor performance.
Unilever has agreed to sell its subsidiary Elida Beauty, which includes 20 beauty brands such as Q Tips and Timotei, to American private equity company Yellow Wood Partners for an undisclosed sum.
The decision is seen as a move by the UK-based conglomerate, which owns more than 400 brands including Marmite and Ben & Jerry’s, to address concerns that the company has become too unfocused.
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The sale follows in the wake of Unilever’s share price plummeting in recent years, down 10% in the last 12 months ending November 2023.
Its new chief executive Hein Schumacher has pledged a renewed focus on the company’s core 30 brands, which represent the majority of its profit.
Schumacher’s appointment follows former chief executive Alan Jope resigning earlier this year after a failed attempt to buy GlaxoSmithKline’s consumer business.
The FMCG giant has also come under pressure due to its ethical claims.
Last month the Competition & Markets Authority revealed it would launch an investigation into green claims made on Unilever packaging, to see if consumers were being mislead.
