Rumours are circulating that global C&T company Unilever could be in the sights of Colgate-Palmolive or private equity suitors for a possible acquisition.
Bid speculation drove Unilever shares to a high of £16.83 yesterday. A spokesperson from Unilever refused to comment on the takeover rumours.
A possible acquisition by Colgate-Palmolive would be surprising, due to the relative market values of the companies involved. The Anglo-Dutch company Unilever has a market value of approximately $95bn, about three times that of New York-based Colgate with $34bn.
There has been speculation in the past that Unilever would acquire Colgate due to their shared cost synergies in Latin America – where both companies have strong market positions – but the reverse is now being touted.
Unilever posted gross profits of $25.81bn on a turnover of $53.99bn in 2006. It is yet to emerge whether interested parties would buy a stake or purchase the entire company.