The potential deal is valued at over $1 billion, according to the newspaper, which cited sources familiar with the matter. Image credit: The Honest Company.
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But it’s also said that the company is still mulling whether or not to float itself on the U.S. stock exchange with an initial public offering instead of selling to the conglomerate. Honest has gone on to make about $300 million in annual revenue for selling its popular diapers and other “natural” baby products, along with “green” household cleaners and other beauty products.
The business model of Honest could give more insight to Unilever into the behavior of shoppers, but it risks alienating the traditional retailers who are now carrying its goods.
Any deal with Honest Co. will be the second for Unilever after it purchased Dollar Shave Club for $1 billion deal in one of the largest e-commerce acquisitions in recent months.
The 35-year-old Alba co-founded Honest Co with Brian Lee, Sean Kane and Christopher Gavin.
Unilever, which is known for its Dove soaps and Axe body sprays, sells various products in the packaged food, household and personal-care sector, across the world.
Unilever’s interest in Honest Co. was earlier reported by the Wall Street Journal.
Honest detergent was also found to have sodium lauryl sulfate, the chemical it states it swaps for the safer sodium coco sulfate. Thus, Honest products will help it expand the assortment of products it can offer.
Last year, customers complained of skin burns from the company’s sunblock products, which then had to be reformulated. It’s just sort of what happens’.
‘We stand by our ingredients, the effectiveness of the products, and we’re pretty optimistic that we’re going to win every case, ‘ she continued.
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The actress also said headlines claiming her products aren’t what they say they are have been “baseless”.
