Haleon is considering offloading its brand of nicotine gum

July 05, 2023 12:38 AM AEST | By Invezz

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Haleon wants to streamline its business

Anonymous sources told Bloomberg this morning that the multinational has already picked an adviser to help with offloading its Nicotinell brand.

In February, Haleon was also reported considering a sale of its Chapstick brand for about $600 million. Such divestitures, it expects, will serve to streamline its business and return focus on its core products.

The London-listed firm expects an organic growth of between 4.0% and 6.0% in its revenue this year after reporting a 9.9% increase in Q1.

At writing, the U.K. stock is trading at roughly the same price at which they started 2023.

Haleon is yet to finalise its decision on the sale

Its brand of nicotine gum could be valued at up to $800 million in a sale. The business is attracting interest not just from consumer companies but also investment firms, as per people familiar with the matter.

Nonetheless, Haleon has not yet made a final decision on the divestiture. Its representative refused to comment on the Bloomberg report today.

Notable brands that the Weybridge-headquartered firm owns include Advil, Tums, and Centrum. The news arrives shortly after GSK trimmed its stake in Haleon plc to raise about $1.0 billion.

Wall Street currently has a consensus “overweight” rating on shares of the world’s largest standalone consumer health company.

The post Haleon is considering offloading its brand of nicotine gum appeared first on Invezz.

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