Edgewell Personal Care Company and Harry’s announced that they have entered into a definitive agreement under which Edgewell will combine with Harry’s in a cash and stock transaction that values Harry’s at $1.37 billion. This transaction furthers the consolidation in the men’s grooming market with category disruptions being acquired by legacy players. Dollar Shave Club was acquired by Unilever for a reported $1 billion in 2016, and Procter & Gamble acquired Bevel as part of the Walker & Co. transaction last year.
WHO: Harry’s has been a disruptive force across the men’s and women’s shaving market and adjacent grooming and personal care categories. Today, Harry’s is comprised of Harry’s—the company’s flagship brand, founded in 2013 by Andy Katz-Mayfield and Jeff Raider—Flamingo, and Harry’s Labs. Harry’s owns and operates its own razor factory in Eisfeld, Germany, and employs more than 900 people across the US, UK, and Germany.
Edgewell is a leading pure-play consumer products company with an attractive, diversified portfolio of established brand names such as Schick and Wilkinson Sword men’s and women’s shaving systems and disposable razors; Edge and Skintimate shave preparations; Playtex, Stayfree, Carefree, and o.b. feminine care products; Banana Boat and Hawaiian Tropic sun care products; Playtex infant feeding; Diaper Genie; Bulldog and Jack Black male skincare and grooming products; and Wet Ones® moist wipes. The company has a broad global footprint and operates in more than 50 markets, including the US, Canada, Mexico, Germany, Japan, and Australia, with approximately 6,000 employees worldwide.
WHY: The deal combines Edgewell’s scale, distribution network, product technology, and R&D Capabilities with Harry’s best-in-class brand building, design, and direct-to-consumer marketing and technology capabilities.
IN THEIR OWN WORDS: “The combination of Edgewell and Harry’s is a pivotal step forward in further transforming our organization and strengthening our competitive position and ability to drive sustained growth and value creation,” said Rod Little, Edgewell’s President and Chief Executive Officer. “Building on Edgewell’s and Harry’s complementary strengths, our combined company will have leading brands and omni-channel capabilities that are essential to meet the needs of the modern consumer and win in today’s market environment. We welcome Harry’s entrepreneurial employees and look forward to working closely with Andy and Jeff, whose ingenuity and demonstrated success will enable us to take our US business to the next level. We are excited about our future and the opportunities we have to deliver superior long-term shareholder returns as a next-generation CPG platform.”
Andy Katz-Mayfield and Jeff Raider, co-founders and co-CEOs of Harry’s, said, “When we launched Harry’s six years ago our vision was to create a grooming brand that better met our needs as consumers, and over time, a CPG platform that creates brands people love across more categories. Together with Edgewell, we see a significant opportunity to continue delivering on that vision, leveraging Edgewell’s advanced technology and global footprint alongside our customer-first approach, brand building expertise and omni-channel capabilities. We’re incredibly proud of the brands we’ve created and the team we’ve built, and have tremendous respect for Edgewell and its established brand portfolio. We look forward to what we can accomplish together.”
DETAILS: