Clorox to Buy Maker of Purell for $2.2 Billion
The Clorox Co. will acquire skin health and hygiene solutions company Gojo Industries, the maker of Purell.
Carey Jaros, president and CEO of Gojo, said working with Clorox will drive the company's accelerated growth in retail channels after taking a hit in the segment to focus on B2B sales during the pandemic. To rebuild in this space, Gojo will tap into Clorox's retailer relationships, consumer insights, brand-building strategies and distribution capabilities.
"In retail, where Clorox is a household name, we have a sizable opportunity to accelerate Purell's growth potential," said Clorox CEO Linda Rendle during a recent call with investors.
"Despite limited focus and investment to date, Purell leads the category in both aided and unaided brand awareness," she added. "And despite being the leading national brand, its household penetration is only 14%, suggesting a significant opportunity as part of our powerful and trusted brand portfolio."
Also: Coca-Cola, Newell, Clorox: three distinct roadmaps for the CPG AI journey
Gojo was founded in 1946 and accounts for $800 million in annual sales. It has a "large base and deep relationships in the fast-growing B2B channel," according to Rendle, providing Clorox with cross-selling opportunities.
Clorox will be able to leverage a "state-of-the-art vertically integrated manufacturing with over 680 global patents and cutting-edge dispensing technology," said Rendle during the call.
"This is a compelling acquisition that evolves our portfolio and scales our fastest growing, most profitable operating segment — health and wellness — as we execute our Ignite strategy to deliver long-term shareholder value," she said.
The deal is expected to close before the end of Clorox's fiscal year 2026, subject to regulatory approval and other customary closing conditions.
