Unilever is set to acquire Seventh Generation, a company focused mainly on ecological cleaning agents, for about 700 million dollars (625 million euro).
Compete with Procter & Gamble
Seventh Generation, founded in 1988, managed a 200 million dollar (180 million euro) turnover last year. Its current CEO, John Replogle, remains CEO after the acquisition and considers the Unilever acquisition as the ideal way to achieve growth, both in the short and long term.
The move is also Unilever's return to the laundry detergent industry, after it had sold its detrgent division for 1.45 billion dollars (1.3 billion euro) in 2008.
Back in August, Unilever spent almost one billion dollar (900 million euro) to acquire Dollar Shave Club, an online razor blade seller, in another attempt to steal away market share from its major competitor, Procter & Gamble, which currently dominates the market with its Gillette brand. Its Seventh Generation acquisition is yet another purchase that helps it penetrate a market that is a traditional stronghold for Procter & Gamble.