P&G Buys Thorne for $3.8 Billion in Deal Reflecting Shift in Consumer Behavior
Procter & Gamble is expanding its presence in the wellness-and-beauty products industry by acquiring Summerville supplements maker Thorne from private equity firm L Catterton for $3.8 billion.
The deal, which is expected to close by the end of the year, marks P&G's latest push into the personal-wellness sector, reflecting a shift in consumer behavior towards proactive, clinically backed solutions that increase health span.
P&G chief executive Shailesh Jejurikar said the price was 'a good price for the growth rates' Thorne has achieved, and that P&G is well-positioned to build on the company's momentum. He noted that P&G has successfully scaled up other acquisitions in the past, such as Native, which had $40 million in sales when acquired but grew to over $1 billion.
Thorne, which employs over 800 workers and brings in about $650 million in sales from its 250 products this year, got its start in the mid-1980s near Seattle before relocating to Berkeley County in South Carolina in 2017. The company went public as Thorne HealthTech five years ago but quickly gave up its Nasdaq listing.
L Catterton partner Marc Magliacano said that P&G is 'best-positioned' to build on Thorne's momentum, and that the investment reflects L Catterton's ability to identify enduring shifts in consumer behavior and partner with category-leading brands.