Colgate-Palmolive (CL.US) plans to sell part of its personal care brands, with a total transaction amount possibly exceeding 1.1 billions USD.

According to sources cited by Zhitong Finance APP, Colgate (CL.US) is exploring the sale of some of its mass-market personal care brands, including Softsoap, Irish Spring, and Speed Stick. Sources indicate that the consumer goods company is working with investment bank Goldman Sachs (GS.US) to push forward this process.

Colgate’s personal care business includes deodorants, bar and liquid soaps, body washes, and skincare products. The sources added that the company currently only intends to divest a few of these brands within the business, with a combined sale price that could exceed $1 billion.

Many consumer goods groups are reshaping and focusing their brand portfolios to better withstand the impact of tariffs, financially pressured consumers, and rising costs of energy and other inputs on their performance—factors that are eroding their profits. Selling some assets from their broader portfolios can also help concentrate resources on core brands.

This year, Unilever (UL.US) agreed to sell its food business to McCormick & Company (MKC.US) for $45 billion. Previously, after selling more than 20 beauty and personal care brands to Yellow Wood Partners in 2024, the company spun off its Magnum (MICC.US) ice cream business last year.

Earlier this month, Nestlé agreed to sell its vitamins business to Yellow Wood for about $1 billion. The company had previously sold stakes in its water business and premium beverages business to private equity firm Platinum Equity.

According to data from provider LSEG, Colgate has a market capitalization of about $70 billion, with its share price up approximately 11% so far this year. In its most recent quarterly report, net sales grew by 4.9%, but organic sales in the North American market fell by 3%.

Colgate CEO Noel Wallace stated this week at the Barclays Consumer Conference that the company is facing increasingly fierce competition in the North American market, and that bringing this segment to the desired level will require a "long-term transformation."

Colgate's entire personal care business (including mass-market and premium brands) accounted for 17% of net sales in 2025, equating to about $3.5 billion in net sales. Its largest business segment is oral care, including its namesake Colgate toothpaste brand, which accounts for nearly half of net sales. Its other segments include home care and pet nutrition.