Colgate-Palmolive today announced it has agreed to purchase the European oral care company GABA Holding AG for $630 million.
GABA has sales of almost $300 million in 15 European countries of which over $200 million is oral care.
‘GABA is one of the few major privately held toothpaste companies worldwide. Looking back, we were able to improve our already strong Asian toothpaste business in 1985 when we formed a joint venture with the Hawley & Hazel oral care company,’ said Reuben Mark, Colgate’s Chairman and CEO.
‘Similarly, in 1995 we acquired the Kolynos toothpaste franchise, materially strengthening our powerful Latin American oral care business. The GABA acquisition should have a similar effect on our overall European toothpaste business, where we are already number one,’ added Mr Mark.
‘The acquisition by Colgate-Palmolive gives GABA access to new markets, which may be impossible for us to reach single-handed, despite our many years of experience in international business,’ commented Werner Degen, President of GABA’s Board of Directors.
The acquisition is subject to regulatory approvals in several European countries and other customary conditions.