Brynwood Partners strengthens foothold in personal care space with Alberto VO5, Rave acquisitions
GREENWICH, Conn. — Brynwood Partners VI L.P. has announced that High Ridge Brands, its portfolio company and owner of the North American Zest personal cleansing franchise, has signed a purchase agreement with Unilever to acquire the Alberto VO5 brand and marketing rights in the United States and Puerto Rico; as well as the rights to the Rave brand and marketing rights worldwide.
Unilever has retained the rights to the Alberto VO5 brand outside the United States and Puerto Rico.
The transaction, which is subject to approval by the U.S. Department of Justice, is expected to close by the end of August. Terms and conditions of the transaction will not be disclosed.
"We are excited to make another acquisition in the personal care space and to add to our very successful Zest business. In an eight-month period, we will have created a company with approximately $200 million in sales and look forward to growing the business through renewed marketing, product innovation and selected add-on acquisitions," stated Dario Margve, managing partner of Brynwood Partners and chairman of High Ridge Brands.
The Alberto VO5 and Rave transaction follows Brynwood Partners’ acquisitions of the Zest brand from Procter & Gamble, the TrueNorth brand from PepsiCo, and the Balance Bar from Kraft Foods. Brynwood Partners also acquired several confections brands from Nestlé USA between 2004 and 2007. Over the course of its 27-year history, Brynwood Partners has purchased a total of 16 brands from eight corporations in the consumer segment.
Alberto VO5 was launched in 1955 by the Alberto-Culver and is known for its hair care products including shampoos, conditioners, hair treatments and styling aids. Originally founded in 1978, Rave is a brand with strong consumer loyalty for its line of hair spray products. The products of both brands are widely distributed in the United States and Puerto Rico.
GNC acquires online vitamin discounter
PITTSBURGH — Specialty retailer GNC on Tuesday announced it has agreed to acquire LuckyVitamin.com, an online discount retailer of branded nutritional supplements.
The acquisition is being funded with cash on hand, and is expected to close within 30 days, subject to customary closing conditions, GNC stated.
Terms of the deal were not disclosed.
Following the acquisition, GNC.com — GNC’s existing e-commerce platform — and LuckyVitamin.com will continue to operate as separate businesses, each with its own product offerings and target customers.
"LuckyVitamin.com is a true Internet pioneer in the health and wellness industry and has built a strong online brand and business as a discount retailer," GNC president and CEO Joe Fortunato said. "LuckyVitamin.com creates a perfect opportunity for GNC to leverage our existing capabilities, provides synergies to strengthen the competitive position of LuckyVitamin.com and gain market share in the fast-growing discount e-commerce channel," he said.
"This acquisition will allow us to participate in the online nutritional discount market without compromising our GNC Live Well brand or the market positioning of our successful GNC.com business," added Jeffrey Hennion, GNC’s EVP and chief marketing officer and e-commerce. "The combination of GNC.com’s premium branding, content and product assortment with LuckyVitamin.com’s competitive offering, best-in-class functionality and customer service advances GNC’s position in the e-commerce channel and leverages the strengths of both companies."
LuckyVitamin.com, founded in 2004, is based in Norristown, Pa. It generated approximately $40 million in revenue for the last twelve months. GNC expects the acquisition to be accretive, beginning in 2012. The earnings impact in 2011 is expected to be neutral, as positive EBITDA contribution is offset by transaction-related expenses.
Bad boy Dennis Rodman promos hangover relief shot
LOS ANGELES — Former NBA bad boy Dennis Rodman, who most recently appeared on VH1’s "Celebrity Rehab," earlier this month helped launch Applied Food Sciences’ hangover relief remedy G-Tox the Hangover Blocker through appearances on the talk show circuit.
Rodman recently appeared in a segment on The Tonight Show with Jay Leno and talked about the G-Tox shot with both host Jay Leno and comedian Dennis Miller.
"Recovery drinks have become an ultra fast growing category in beverage sales, with major brands like Monster Rehab and Vitaminwater Revive recently entering the market targeted at ‘curing hangovers,’" the company stated. "This is the hottest beverage category right now, and as the national media begins to take notice, [we are] out to prove real science behind the product goes a long way."
G-Tox was developed by Applied Food Sciences, which found that glucarate, the key ingredient in G-Tox, was effective in readily speeding up the process of toxin removal within the liver and blood.
Glucarate, found naturally in fruits and vegetables, is also naturally found in the human body. When the body becomes overloaded with toxins, increasing levels of glucarate or glucuronolactone, also increases the body’s ability to recover from toxins such as alcohol faster, safer and more efficiently.
“G-Tox helps keep the body in top form, and for anyone who drinks, especially those peak athletes, it’s a simple, one-shot remedy that’s easy and effective total body detox,” AFS VP marketing Jackson Zapp said.