P&G Buys Thorne for $3.8 Billion to Bolster Wellness Push
Procter & Gamble (P&G) has acquired supplements maker Thorne for $3.8 billion in cash from L Catterton, a private equity firm backed by LVMH. This deal marks P&G's major push into the health and wellness market, where top consumer goods giants are vying for space.
The takeover aligns with growing demand for self-care products and preventive care. P&G rival Unilever announced a similar deal to buy US-based nutritional supplements brand Gruns in April, while Nestlé is reviewing its low-growth VMS brands.
P&G's current supplements portfolio includes New Chapter, Metamucil, and Align Probiotic, but the Thorne acquisition could help it tap into the premium nutritional supplements market and reach younger consumers, said Jay Woods of Freedom Capital Markets analyst. P&G forecast slower annual sales growth last week despite strong results from its beauty and wellness division.
L Catterton took Thorne private in 2023 for $680 million, and the deal would represent a return on investment of over $3 billion for L Catterton. The firm's partner Rajan Shah expressed confidence that P&G is best positioned to build on Thorne's growth acceleration.