Consumer products giant
) recently completed the sale of its Slim-Fast brand to a middle
market private equity firm - Kainos Capital. The divestiture
includes the sale of the Slim-Fast trademark and the global
Slim-Fast business portfolio. However, Unilever will retain a
minority stake in the business. Terms of the deal were not
The acquisition of the Slim-Fast brand will be a strategic fit
for Kainos Capital, which seeks to build a diversified portfolio of
growing and strategically relevant food and consumer businesses.
Slim-Fast's product line includes shakes, bars, snacks, packaged
meals, and other dietary supplement foods sold in the U.S., UK,
Ireland, Canada, France, Germany, Iceland and Latin America. The
brand promotes diets and weight loss plans featuring its dietary
supplement food products.
This was the last divestiture planned for North America and
shows its commitment to focus on its core portfolio to deliver
sustainable growth. Unilever's core businesses comprise detergents,
foods, toiletries, and specialty chemicals.
Of late, Unilever has been diversifying its brands to
concentrate on its core portfolio. On May 22, the company completed
the sale of its Ragu and Bertolli pasta sauces brands for $2.15
Unilever Continues to Focus on Core Business
In February, the company sold its meat snacks business to
Berlin-based Jack Link's Meat Snacks for an undisclosed amount.
Prior to that, in January, Unilever sold its Royal pasta brand to
RFM Corporation, one of the biggest diversified food and beverage
companies in the Philippines. In Dec 2013, Unilever sold its Soft
& Beautiful, TCB and Pro-Line Comb-Thru brands in the hair care
category to an international hair care company - Strength of Nature
for an undisclosed amount. The sale however excludes TCB's business
In early Oct 2013, Unilever sold its Wish-Bone salad dressing
business to food company
Pinnacle Foods Inc.
) for $575 million, while in August,
ConAgra Foods Inc.
) bought its Bertolli and P.F. Chang's frozen meals brands for $265
million. In Jan 2013, the company sold its Skippy peanut butter
business to Austin, MN-based producer of branded food and meat,
Hormel Foods Corporation
) for $700 million in cash.
Unilever currently holds a Zacks Rank #2 (Buy).
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