The deal would give Henkel, long a relatively
The deal, subject to regulatory and shareholder approval, would give Dial shareholders $28.75 per share, a premium of 11.1% over Dial's Friday closing price and roughly triple the value the troubled company had when Herb Baum took over as chairman-CEO in August 2000.
Selling stake in Clorox?
In a statement, Henkel said it expects to sell "a significant portion" of its minority investment, now around 25%, in Clorox Co., in chemical company Ecolab, or in both to help finance the Dial acquisition.
Dial markets the eponymous personal wash brand, Purex detergent, Renuzit air fresheners and Armor canned meats. Henkel's brands include Persil detergent and Fa, Dep and Schwarzkopf personal care products.
Henkel was outbid by rival Procter & Gamble Co. for the Wella hair and beauty care business earlier this year, with Henkel ultimately selling its minority stake in Wella to P&G.