Divestment enables Bayer to focus on core OTC business
Bayer announced on September 2, 2019, the completion of the sale of the Coppertone™ brand to Beiersdorf for a purchase price of 550 million U.S. dollars. In May of this year, Bayer entered into a definitive agreement to sell Coppertone™ to Hamburg, Germany-based Beiersdorf. Having successfully carved out the business and achieving the customary closing conditions, including approval by antitrust authorities, Bayer is now able to focus on building its core over-the-counter business.
Established in 1944, Coppertone™ was the first sun care brand launched in the US market. It is available in the United States, Canada and China, and generated sales of 213 million U.S. dollars in 2018.
“We are convinced that Beiersdorf is an excellent new owner who will continue to invest in and grow the Coppertone™ brand,” said Heiko Schipper, member of Bayer’s Board of Management and President of Consumer Health. “Since Bayer took ownership of Coppertone™ in late 2014, we have made progress in revitalizing the brand and developing an exciting pipeline of innovative products thanks to the efforts and passion of our people. We look forward to seeing the team and the brand taken to the next level of success under Beiersdorf’s ownership.”
Beiersdorf has now acquired the global product rights to Coppertone™ and takes over approximately 450 dedicated brand personnel in the United States, Canada, and China including Sales and Marketing, Research & Development and others, as well as a production facility in Cleveland, Tennessee, USA.
Bayer is a global enterprise with core competencies in the life science fields of health care and nutrition. Its products and services are designed to benefit people by supporting efforts to overcome the major challenges presented by a growing and aging global population. At the same time, the Group aims to increase its earning power and create value through innovation and growth. Bayer is committed to the principles of sustainable development, and the Bayer brand stands for trust, reliability and quality throughout the world. In fiscal 2018, the Group employed around 117000 people and had sales of EUR 39.6 billion. Capital expenditures amounted to 2.6 billion euros, R&D expenses to 5.2 billion euros.
Beiersdorf successfully completes acquisition of Coppertone
- Acquisition strengthens Beiersdorf’s leading position as sun protection expert
- Transaction is the first major acquisition under the new C.A.R.E.+ strategy
- Beiersdorf enters the world’s largest sun care market and expands its business in North America
Beiersdorf has successfully completed the acquisition of the iconic sun care brand Coppertone. Effective August 30, 2019, Coppertone’s global operations will be transferred from Bayer to Beiersdorf. The approximately 450 employees of the Coppertone business in the United States, Canada and China – including Sales, Marketing and Research & Development – as well as the production center in Cleveland, Tennessee (USA), will also join Beiersdorf on August 30, 2019. The closing is taking place just 16 weeks after the announcement of the planned transaction on May 13, 2019, for a purchase price of 550 million U.S. dollars.
“Today’s official closing of the Coppertone transaction marks an important milestone in the implementation of our C.A.R.E.+ strategy,” said Stefan De Loecker, Chief Executive Officer of Beiersdorf. “We are significantly investing in our core business skin care. With this acquisition we are gaining access to the world’s largest sun protection market – the United States. We are convinced that this step will enable us to significantly accelerate our growth and presence particularly in North America.”
With the acquisition of the Coppertone brand, Beiersdorf is further expanding its leading position in the global sun care business. Coppertone, a brand that is synonymous with sunscreen in the United States, generated sales of EUR 181 million in 2018. “We are pleased to welcome Coppertone with its highly dedicated, experienced employees to the Beiersdorf family,” Stefan De Loecker said. “Together, we will continue to develop this strong, iconic brand and leverage the growth potential of our global sun care business.”
Sun protection has been a major pillar of Beiersdorf’s skin care business for more than 80 years. As a result of the acquisition, the company will bring together three of the world’s top sun care brands under one roof: NIVEA Sun, the world’s No. 1 sun care brand*; Eucerin, the dermocosmetic brand providing tailored sun protection to individual skin needs; and Coppertone, the world’s No. 5 and most well-known sun protection brand in the United States.