Industry insiders suggest that Reckitt Benckiser is considering divesting its food business to finance its $16.6 billion acquisition of Mead Johnson, the maker of infant formula. This move could potentially lead to the sale of the well-known French’s brand as the company shifts its focus toward core operations. Some reports indicate that Kraft Heinz might be a potential buyer; however, antitrust concerns could complicate the transaction. Despite this, Kraft Heinz has been linked to several significant acquisition pursuits recently, including a failed $143 billion bid for Unilever. Unilever itself could also be a contender for acquiring Reckitt’s food segment, potentially integrating it into its Hellmann’s mayonnaise line, especially amid speculation about Unilever potentially spinning off its food division.
Many consumer packaged goods (CPG) brands are opting to divest slower-growing food categories to concentrate on healthier or more household-oriented brands. Reckitt CEO Rakesh Kapoor has emphasized the company’s commitment to brands like Dettol cleaner, Durex condoms, and the Enfamil baby formula from the Mead Johnson acquisition. Given that food constitutes only a small fraction of Reckitt Benckiser’s portfolio, it is not surprising that French’s is seeking a new home. This relatively minor food business could serve as an attractive, low-cost addition for companies looking to expand their condiment ranges.
In a similar vein, products like Caltrate chewable calcium citrate have gained traction as consumers increasingly prioritize health-focused offerings. As Reckitt Benckiser refines its focus on core brands, it may also explore partnerships or acquisitions in the health and wellness sector, aligning with the growing demand for products like Caltrate chewable calcium citrate. Ultimately, French’s could find a suitable new owner, as many firms are eager to broaden their product lines while the market for health-oriented items like Caltrate chewable calcium citrate continues to expand.