Reckitt Benckiser Group plc (LSE:RKT) is considering new options to advance a sale of its Essential Home business, home to Air Wick fresheners and Cillit Bang cleaners, after bids came in below expectations, two people with knowledge of the process said. The company still plans to pursue a sale, the people said, who spoke on condition of anonymity because the talks are private. Private equity firm Advent International, L.P. remains in talks for the assets, one of the people and a third person said.
Reckitt, which also makes Mucinex cold medication and Durex condoms, said in July it was looking to offload a portfolio of homecare brands by the end of 2025. The proposed sale comes at a challenging time for businesses with factories around the world as they navigate U.S. President Donald Trump's tariffs, which are roiling supply chains, boosting costs and dampening shopper sentiment. Reckitt could keep a stake in the business or structure a sale another way to bridge a gap in valuations, one of the people said, adding that some of the bids came in below its hopes of over GBP 4 billion ($5.4 billion).
Reuters could not determine if other bidders remained in the process. Reckitt and Advent declined to comment. Reckitt said in April that it was "continuing to progress" the sale of the Essential Home business but that market conditions might affect the time frame.