Essity to acquire Playtex and other Edgewell feminine care brands for US$340m
Essity has agreed to acquire Edgewell Personal Care’s feminine care business, including global rights to the Playtex brand, for US$340m ($521.5m) on a cash and debt-free basis. The transaction gives Essity control of Playtex globally and the Carefree, Stayfree and o.b. brands in North America, and is expected to close in the first quarter of 2026, subject to regulatory approvals.
Transaction snapshot
Deal value: US$340m ($521.5m)
Deal multiples: EBITDA multiple of ~12.1x on a pro-forma basis
Deal type: Acquisition of Edgewell Personal Care’s feminine care business
Investors: N/A
Essity will acquire Edgewell’s feminine care business through an asset deal. The package includes the Carefree, Stayfree and o.b. brands in the USA, Canada and the Caribbean, global feminine care rights for Playtex, and a production facility in Dover, Delaware. The business has about 500 employees, of whom roughly 450 are based at the Dover plant.
For the 12 months to 30/06/2025, the business generated net sales of US$261m ($400.3m) and segment operating profit of US$17m ($26.1m). Essity states that the US$340m ($521.5m) purchase price implies an EBITDA multiple of around 12.1x on a pro-forma IFRS basis and 8.3x including estimated run-rate synergies.
Essity describes the acquisition as aligned with its strategy to focus on higher-margin categories and strengthen its position in the US, the world’s largest hygiene market. The company already owns regional feminine care brands such as Libresse, Bodyform, Libra and Nosotras, and sees the incoming brands as complementary to its existing pads, liners and tampon ranges.
For Edgewell, the deal is framed as a portfolio simplification. The company says selling the feminine care business will allow it to sharpen focus on core categories where it sees stronger competitive positions, including shaving (Schick, Wilkinson Sword, Billie) and sun care (Banana Boat, Hawaiian Tropic). Net proceeds, after tax and transaction costs, are expected to be used mainly to strengthen the balance sheet while continuing to invest in these core businesses.
Edgewell plans to classify the feminine care business as discontinued operations from the first quarter of fiscal 2026. The company expects the sale to reduce annualised adjusted EBITDA by about US$35m–US$45m ($53.7m–$68.0m) and adjusted EPS by approximately US$0.40–US$0.50 per year. Edgewell will provide transition services to Essity and work with the buyer to support employees, customers and consumers through the handover.
