Consumers will soon see Energizer's household and personal care products under different umbrellas during 2015's second half.
According to a company press release, the two departments will operate separately as part of a tax-free spinoff with investors. Officials reportedly plan on using unique branding, categories, and corporate strategies for each.
Energizer's CEO said the announcement comes after three years of hard work.
"Over the last three years, we have taken a number of important steps to enhance shareholder value, including executing a multi-year cost reduction plan, improving working capital, and initiating a dividend," Ward Klein said in a statement.
Shick, Wilkinson Sword, Edge, Skintimate and Platex products will fall under the personal care division. Stayfree, Carefree, o.b., Banana Boat, and Hawaiian Tropics are also included in this criteria.
Energizer and Eveready products will now be a part of the household products division.
"The Energizer Board of Directors and management team have continually explored opportunities to improve performance and increase long-term shareholder value and believe that separating the household products and personal care divisions is the next logical step to unlock even greater value for Energizer shareholders," Klein said in the statement. "Importantly, as we move through the separation process, the company's working capital and cost reduction efforts will continue without interruption, and we expect to achieve the full savings projected."
Klein also said the move shows the development each department has made since Energizer became a company 14 years ago.
"Since becoming an independent company in 2000, Energizer has built two successful divisions and each is now well-suited to realize its full potential on a standalone basis," Klein said in the statement. "We expect that household products will be well-positioned to leverage its leading brands and product portfolio to generate significant cash flows. The personal care business has achieved scale to be able to enhance its focus on continuing innovation and to drive top-line and market share growth."
