Unilever to buy US-based personal care company Sundial Brands

Anglo-Dutch consumer goods giant Unilever yesterday struck a deal to buy US-based personal care company Sundial Brands, a maker of hair and skincare products, in order to expand its personal care products portfolio.

The two companies did not disclose the financial terms of the deal, but Unilever said that Sundial Brands expects revenue this year of about $240 million.

Sundial will operate as a standalone business and continue to be led by the company's founder and CEO Richelieu Dennis, Unilever said in a statement.

The acquisition comes a few months after Unilver acquired San Diego-based cosmetics company Beauty Bakerie.

Founded in 1991, New York-based family-owned Sundial's brands include SheaMoisture, Nubian Heritage, Madam C.J. Walker and nyakio, all of which are primarily aimed at African-American women.

As part of the deal, Unilever and Sundial are creating the New Voices Fund with an initial investment of $50 million to empower women of colour entrepreneurs. They intend to scale the fund to $100 million by attracting investments from other interested parties.

''The Sundial team has built differentiated and on-trend premium brands serving multicultural and millennial consumers that enhance our existing portfolio,'' said Kees Kruythoff, president, Unilever North America. ''Sundial is an important addition to our U.S. portfolio of purpose-driven companies, which includes Ben & Jerry's and Seventh Generation.''

''We are excited to partner with Richelieu and his team to enable Sundial to bring its unique product offerings and community impact to more people around the world,'' said Alan Jope, president, Unilever Personal Care. ''We look forward to continuing to grow the business and make an even bigger impact on society through Sundial's community programs.''

The acquisition also comes within a year after Unilever rejected a $143-billion takeover offer from Kraft-Heinz (See: Kraft calls off Unilever bid amid mutual praise).