Private equity firm Advent International has entered exclusive negotiations with UK consumer goods giant Reckitt over a potential acquisition of its Essential Home division, according to a report by Reuters citing unnamed sources familiar with the matter.
The deal, which could be announced in the coming weeks, may see Reckitt retain a minority stake in the business, which includes well-known brands such as Air Wick and Cillit Bang, the sources told Reuters. They cautioned, however, that discussions are ongoing and there is no guarantee that a final agreement will be reached.
Both Advent and Reckitt declined to comment.
The prospective sale forms part of CEO Kris Licht’s strategic overhaul of Reckitt’s portfolio as the company looks to streamline operations and rebuild investor confidence. Concerns have mounted around the performance of some of Reckitt’s brands, particularly in North America and Europe, amid weaker consumer sentiment.
Reckitt had initially hoped to fetch up to £4bn ($5.4bn) for the Essential Home unit, but earlier bidding rounds reportedly fell short of expectations.
The Essential Home business, which accounts for approximately 13% of Reckitt’s quarterly revenue, has faced recent headwinds. In Q1 2025, sales fell 7% to £482m, continuing a run of underperformance that has added pressure on Reckitt to divest non-core assets.
