Sara Lee to sell 51% joint venture stake to Godrej for €185m
Consumer goods group reaffirms intention to focus on food and beverage market
As part of its ongoing strategy of divesting its household and body care businesses, Sara Lee Corp is to sell its 51% stake in the Godrej Sara Lee Ltd joint venture to Godrej Consumer Products Ltd. The €185m transaction is said to be subject to customary closing conditions, but is expected to be finalised on 3 July 2010.
Sara Lee’s sale of its stake in the joint venture, which primarily markets insecticides to the Indian market, follows a €1.275bn binding offer from Unilever for Sara Lee’s body care brands and a €320m offer from P&G for its air care business.
“The sale of our stake in the Godrej Sara Lee joint venture combined with the previously announced binding offers with P&G and Unilever underscore the significant value of our household and body care portfolio,” said chairman and ceo Brenda C Barnes of the transaction. “This sale is the next step in our strategy to focus on our core food and beverage businesses, where we’re positioned to continue to drive strong shareholder value.”