DOW JONES NEWSWIRES
Helen of Troy Ltd. (HELE) agreed to acquire the Infusium 23
hair-care product line from Procter & Gamble Co. (PG) as Helen
of Troy has been looking to grow with new products.
At the same time P&G has been reducing its exposure to
slow-growing businesses that can't keep pace with its annual
sales-gain target of 4% to 6%. That philosophy was highlighted by
last year's $2.95 billion sale of the Folgers coffee business to
J.M. Smucker Co. (SJM).
Terms of the Infusium deal weren't disclosed, though payment
will be made in cash and is set to close by month's end. The brand,
which dates back more than 80 years, includes shampoo and
conditioner.
Helen of Troy Chairman and Chief Executive Gerald Rubin said
adding Infusium to a product line that includes Ogilvie, Vitalis,
Brut and Sea Breeze will enhance the company's position in the
hair-care market.
Rubin added the company expects Infusium 23 to generate about
$40 million a year in sales with products marketed to both retail
and salons.
Helen of Troy's shares closed Tuesday at $8.69, and P&G's
closed at $46.63. Neither was active premarket.
-By Kevin Kingsbury and Kerry E. Grace, Dow Jones Newswires;
201-938-2136; kevin.kingsbury@dowjones.com