Yellow Wood acquires ChapStick from Haleon

Private equity firm Yellow Wood Partners has signed a binding offer to acquire ChapStick from Haleon, with the transaction expected to close in the first half of 2024 following the completion of regulatory approvals.

The lip care label, founded during the 1880s, has continued to expand its portfolio of products over its lifespan to now become a core leader in its category, with over 80 percent brand awareness, as noted in a press release.

It will be taken over by Suave Brands Company, a personal care subsidiary of Yellow Wood, which acquired the company from Unilever in 2023 with the goal of growing the brand through a more “focused management approach”.

Suave’s CEO, Daniel Alter, added that it had further plans to create a corporate infrastructure that would allow it to acquire and manage additional personal care brands across multiple categories.

Alter continued: “We are excited to add ChapStick, another leading brand with deep equity and history, into our platform. At Suave Brands Company, our management team is focused on building a platform of category leading brands that consumers love while working with our retail customers and manufacturing partners to grow the brands.

“We look forward to continuing to build Suave Brands Company by identifying additional personal care brands to add to the portfolio."

Financial details of the deal were not disclosed.