Turkish Firm to Acquire Kotex and Lily Brands in Israel Amid Merger
Turkish firm Dilek Gida will acquire Kotex and Lily feminine hygiene brands in Israel, paving the way for Kimberly-Clark and Kenvu's merger following regulatory approval.
Turkish company Dilek Gida is set to acquire the Kotex and Lily feminine hygiene brands in Israel as part of a broader transaction spanning 11 countries, paving the way for the merger between Kimberly-Clark and Kenvu. The Israel Competition Authority approved the merger this week, conditional on the divestment of the feminine hygiene operations.
Despite the ongoing Turkish trade restrictions against Israel, Dilek Gida is legally obligated to sell the brands in the Israeli market under regulatory guidelines. However, the Turkish firm retains operational autonomy and may choose to appoint a local distributor to serve Israeli clients, potentially partnering with companies like Diplomat or similar local distributors.
The restructuring impacts several local distributors who will lose distribution rights for prominent Kenvu brands, including Listerine, Ben Gay, Biafine, and Nicorette. According to Storenext data, Israel's feminine hygiene market grew by 5.2% last year to reach 421 million shekels, though sales dipped slightly by 1% to 313 million shekels in the first nine months of the year.
Procter & Gamble currently leads the Israeli feminine hygiene market with its Always and Tampax brands, capturing a 57.8% market share. Kimberly-Clark held a 28% market share through Kotex and Lily, but will divest these brands to absorb Kenvu's Carefree and O.B., which hold a combined 9% market share.
