German consumer goods firm Henkel has agreed a $2.9 billion (€2.9bn; £1.7bn) deal to acquire US rival Dial.
Under a pact forged at the weekend, Henkel -- owner of the Schwarzkopf haircare range -- will pay $28.75 per Dial share, an 11% premium over the US group's Friday stock price. The deal follows Henkel's failed attempt to purchase German giant Wella, eventually bought by Procter & Gamble.
The acquisition of Dial will boost Henkel's overseas presence at a time when P&G's consolidation in the German market is expected to make competition more fierce. Dial's brands include the eponymous soap and Renuzit air fresheners.
Henkel already has some interests in the US. It owns a 27.3% stake in stateside consumer goods operator Clorox, owner of various cleaning products, plastics and foods. It may seek to sell some of this holding to help fund the Dial deal.
Data sourced from: The Wall Street Journal Online; additional content by WARC staff
