Colgate-Palmolive to sell laundry detergent unit to Phoenix

07/13/05 - newratings.com

NEW YORK, July 13 (newratings.com) – The world’s leading toothpaste and shaving cream manufacturer, Colgate & Palmolive (CL), Tuesday announced plans to sell its North American laundry detergent unit to Phoenix Brands LLC. The terms of the deal were, however, not disclosed.

Colgate-Palmolive announced that the sale of the North American laundry detergent unit, with brands like Fab and Ajax under its umbrella, would result in a one-time after tax gain of $60 million for the company. The sale is part of the company’s strategy to focus on its oral care and pet care products and selling other products like detergents which lag behind their rival brands. Phoenix, which already owns Final Touch fabric softener, Niagara spray starch and Rit fabric dye, will also get Colgate-Palmolive's Arctic Power, ABC, Cold Power, Dynamo and Fresh Start brands in the transaction.