P&G selling rest of pet care business to Spectrum
NEW YORK (AP) — The Procter & Gamble Co. is selling its Iams and Eukanuba brands in Europe to Spectrum Brands, shedding the remaining parts of its pet care business.
Financial terms were not disclosed.
The transaction includes 42 markets in Europe. P&G said that exiting the pet care business will help it focus on its core businesses. Its brands include Tide detergent and Pampers diapers.
Spectrum Brands Holdings Inc. is a consumer products company whose pet group brands include Tetra, Furminator and Dingo.
In April, Cincinnati-based P&G said that it was selling 80 percent of its global pet care business — including North America and Latin America — to Mars Inc. Europe was not included in that transaction, except for Russia and Turkey. Mars later agreed to buy an additional 10 percent of P&G's pet care business in additional markets such as Japan, Australia and South Africa.
The portion of the pet care business that Spectrum is buying has about $200 million in annual sales. Spectrum said in a statement that the acquisition will give its United Pet Group unit access to the growing European dog and cat food market. Its board has approved the transaction.
Spectrum Brands, based in Middleton, Wisconsin, also has brands including Rayovac, Black & Decker and Farberware.
P&G's deal with Spectrum is targeted to close next year.
P&G's stock rose 8 cents to $84.89 in morning trading Tuesday, while Spectrum Brands Holdings shares gained $2.44, or 2.8 percent, to $88.57.