Burt’s Bees Sells Out
Clorox, the chemical company best known for making chlorine-based bleach and Kingsford Charcoal, purchased the seemingly indie-personal-care brand, Burt’s Bees for $925 mil. The move wasn’t surprising to most industry insiders, as Burt’s had been making larger distribution deals in the past several months:
Burt’s, which has grown its business largely through health, natural-food and other specialty stores, entered Target earlier this year, and it already had plans in place to begin a distribution test with Wal-Mart Stores by year-end, according to a person familiar with the matter. Clorox and Burt’s Bees executives declined to comment on Wal-Mart distribution prospects but said the distribution power of Clorox, which already gets 26% of its sales from Wal-Mart, was a key factor in justifying the deal.