Abstract

On January 26, 2009, Anglo-Dutch Consumer Packaged Goods major, Unilever announced its acquisition of the TIGI hair care division and educational academies from Tony & Guy USA Inc. With this acquisition, Unilever would establish its presence in the premium hair care segment while TIGI would be able expand into new international markets. Analysts opined that the outcome of the deal would be positive since Unilever would be able to leverage on the strengths of TIGI’s hair care business. Some analysts, however, felt that because of the economic slowdown, the deal would take time to create value for Unilever.

Learning Objectives

The case is structured to achieve the following Learning Objectives:

• Merger and Acquisition
• Rationale of M&A
• Expansion
• and Portfolio management

Keywords

acquisition, portfolio management, Unilever, brand image, Tony & Guy, TIGI, innovation, consumer packaged goods, personal care, haircare, debt free basis, logistic, retail channel, distribution, depreciation, amortization