Unilever has shelved the planned sale of ear swabs brand Q-Tips, along with some beauty and personal care brands, as there was not enough interest from bidders, the Wall Street Journal reported on Wednesday.
The consumer goods giant had earlier this year started exploring options for brands such as Q-Tips, Caress, TIGI, Timotei, Impulse and Monsavon after carving them out into a separate business in April.
Combined Revenues
The sale process of the brands, which had combined revenues of around €600 million ($693.84 million) in 2020, could be revived in the future, the WSJ report said, citing a source.
Unilever declined to comment.
Stiff Competition
The Dove soap owner's decision to explore a sale of some of its businesses comes at a time when the company is facing share price weakness and stiff competition from its rivals in areas of hygiene and packaged food.
Its sale of a majority of its tea business is underway.
London-listed shares in Unilever have lost about 11% of their value so far this year. They fell slightly after the report, but pared losses soon after to trade flat by 1254 GMT.
Rising Costs
Unilever's battle with rising costs will take centre stage at its third-quarter results on 21 October, with investors focused on whether the consumer goods giant will cut its profit margin forecast for the second time this year.
Crude oil prices hit three-year highs on Monday, vegetable oil prices are at multi-year highs, and packaging, transport and labour costs are also rising as economies recover from the pandemic - a headache for central bankers and companies alike.
News by Reuters edited by Donna Ahern, Checkout. For more A Brands stories click here. Click subscribe to sign up for the Checkout print edition.
