Church & Dwight to Purchase Touchland, Boost Brand Portfolio

Acquisition Details - Church & Dwight Co., Inc. has entered into a definitive agreement to acquire Touchland for $700 million, with an additional earn-out of up to $180 million based on 2025 net sales performance, bringing the total potential purchase price to $880 million [2][3] - The transaction is expected to close in the second quarter of 2025 [2] Strategic Fit - The acquisition strengthens Church & Dwight's position in the personal care market and adds a youth-focused brand to its portfolio, making Touchland the company's eighth power brand [3] - Touchland is the number two hand sanitizer brand in the U.S., known for its strong consumer loyalty and appeal to younger audiences [3] Financial Performance - Touchland reported $130 million in net sales and $55 million in EBITDA for the trailing 12 months ending March 31, 2025, with projected double-digit growth in net sales for 2025 and 2026 [5] - The acquisition is expected to boost cash earnings by approximately 3% by 2026 [5] Operational Strategy - Touchland's founders will continue to lead the brand from Miami, while Church & Dwight will leverage its global distribution network to drive growth [4] - Touchland has begun international expansion, with products available in the U.S., Canada, and recently launched in the Middle East [4] Portfolio Management - Church & Dwight plans to divest or shut down underperforming units, including Flawless, Spinbrush, and Waterpik showerhead businesses, which represent about $150 million in net sales [11] - This move aims to streamline the portfolio and focus on core brands, reducing tariff exposure [11] Market Position - Church & Dwight has demonstrated strong brand performance, gaining market share in nine of its 14 major brands and achieving volume share growth in over 80% of its business in Q1 2025 [9] - The company benefits from a robust portfolio of trusted consumer brands, ensuring stable demand even during economic uncertainty [10]