Unilever Acquires Dr. Squatch to Boost Men’s Personal Care and Capture Gen Z Market

Key Points

It seems likely that Unilever is acquiring Dr. Squatch for $1.5 billion, as reported by the Financial Times.
Research suggests this move aims to expand Unilever’s presence in the men’s personal care market, targeting Gen Z consumers.
The evidence leans toward Dr. Squatch’s growth, with sales over $400 million, driven by social media and influencer marketing.

Acquisition Overview
Unilever, a major consumer goods company, has agreed to buy Dr. Squatch, a men’s grooming brand, for $1.5 billion from Summit Partners. This deal, reported by the Financial Times and other sources, is part of Unilever’s strategy to strengthen its portfolio in premium, high-growth areas.

Strategic Focus
The acquisition targets Gen Z consumers, leveraging Dr. Squatch’s success with natural, high-performance products and viral social media campaigns. Unilever plans to scale the brand internationally, building on its U.S. success.

Brand Growth
Dr. Squatch, founded in 2013, has grown significantly, with sales exceeding $400 million. Its marketing, including influencer partnerships, has built a loyal following, making it an attractive addition to Unilever’s lineup.

Comprehensive Analysis of Unilever’s Acquisition of Dr. Squatch

Unilever, a global leader in consumer goods, has announced its agreement to acquire Dr. Squatch, a men’s personal care brand, for $1.5 billion from private-equity firm Summit Partners. This acquisition, first reported by the Financial Times and confirmed by multiple news outlets, marks a significant step in Unilever’s strategy to expand its portfolio in premium and high-growth areas, particularly targeting Gen Z consumers. The deal, expected to close later this year, underscores Unilever’s focus on innovative, digitally native brands and its ambition to strengthen its position in the fast-growing men’s grooming market.

Acquisition Details and Financial Terms

The acquisition price of $1.5 billion (approximately 1.09 billion pounds) was reported by sources such as Reuters, Yahoo Finance, and Proactive Investors, though Unilever’s official press release did not disclose the financial terms. Dr. Squatch, known for its natural, high-performance personal care products, is being acquired from Summit Partners, a growth equity firm that has supported the brand’s expansion. The transaction is subject to customary regulatory approvals and closing conditions, with an expected closure later in 2025.

Strategic Rationale and Market Positioning

Unilever’s decision to acquire Dr. Squatch aligns with its Growth Action Plan 2030, which prioritizes investments in four core areas: Beauty & Wellness, Personal Care, Home Care, and Nutrition. This acquisition is part of a broader strategy to focus on premium and high-growth verticals, as noted in the press release from Unilever. Dr. Squatch’s success in the U.S. market, particularly with Gen Z consumers, makes it a complementary addition to Unilever’s existing portfolio, which includes brands like Dove and Axe.

Fabian Garcia, President of Unilever Personal Care, stated in the press release, “Dr. Squatch has built a solid foundation and loyal following with highly desirable products and clever digital engagement strategies. Building on its success in the U.S., we are excited to scale the brand internationally and complement our offering in the fast-growing men’s personal care segment.” This reflects Unilever’s intent to leverage Dr. Squatch’s brand equity to expand globally, particularly in North America and Europe, where the brand is already distributed through digital commerce, retail, and direct-to-consumer channels.

Dr. Squatch’s Growth and Brand Profile

Founded in 2013 by Jack Haldrup, Dr. Squatch started with a modest Kickstarter campaign in 2016, raising $100,000. By 2025, the brand had grown to generate sales exceeding $400 million, as reported by WWD and Private Equity Insights. Dr. Squatch offers a range of products, including natural soaps, body washes, deodorants, hair care, skin care, and other men’s grooming items, all crafted with unique scents and quality ingredients. Its mission, as stated on Summit Partners’ website, is to “inspire and educate men to be happier and healthier with natural, high-performance products.”

The brand’s growth is attributed to its innovative marketing strategies, which have been described as “viral social-first” and “culturally relevant.” Dr. Squatch has leveraged partnerships with influencers and celebrities, such as Sydney Sweeney, and engaged in limited-edition collaborations to drive sales and build a loyal consumer following on social media platforms. An X post from @writes_eve highlighted Dr. Squatch’s journey, noting, “In 2016, founder Jack Haldrup launched a small Kickstarter: 2,191 backers, $100K raised. 9 years later? $400M+ in sales. Proof that you don’t need to go big.”

Target Demographic and Marketing Strategy

Dr. Squatch’s appeal to Gen Z consumers is a key factor in Unilever’s acquisition strategy. Adweek reported that the acquisition aims to deepen Unilever’s Gen Z market play, citing Dr. Squatch’s “viral social-first marketing strategies, partnerships with influencers and celebrities, and culturally-relevant collaborations” as driving forces behind the deal. Marketing Dive noted that Unilever praised Dr. Squatch’s “built-in-culture” brand, which has successfully captured the attention of a desirable cohort of Gen Z men, previously cited as a rising competitive threat.

The brand’s marketing tactics, including witty TikTok humor and Super Bowl-quality ads, have been highlighted in an X post from @oliverwhudson, which mentioned, “Unilever just acquired Dr. Squatch for $2B, the same playbook they ran with Wild and K18. Bold, polarising creative that knew exactly who it was speaking to.” While the X post mentions a $2 billion price, which differs from the $1.5 billion reported by other sources, it underscores the brand’s marketing strategy’s impact.

Investor and Market Context

Summit Partners, the seller, has seen a significant return on its investment, with Guild Capital, an early seed investor, also benefiting from the deal. An X post from @lifeofbi noted, “Unilever is acquiring Dr Squatch in a $1B+ transaction. Does that make Guild Capital one of the low-key best consumer investors? They were the lone seed investor in Ruggable to Summit Partners ~$800m, Homechef to Kroger ~$750m, Dr Squatch to Unilever $1B+.” This highlights the brand’s value and the success of its investors.

Unilever’s acquisition of Dr. Squatch follows its recent purchase of Wild, a British refillable deodorant brand, in April 2025, indicating a pattern of investing in premium, digitally native brands. Private Equity Insights reported that Josh Friedman, CEO of Dr. Squatch, said, “We’re just getting started, and we’re thrilled about the opportunity to amplify our mission and reach with Unilever,” reflecting optimism about the partnership.

Impact and Future Outlook

The acquisition is expected to enhance Unilever’s competitive position in the men’s personal care market, leveraging Dr. Squatch’s strong brand culture and digital engagement strategies. Consumer Goods Technology noted that Unilever selected the brand in part for its “strong brand culture and viral, social media-focused marketing with influencer- and celebrity-driven growth.” Industry Leaders Magazine described the deal as “sending ripples through the personal care industry,” emphasizing Unilever’s commitment to tapping into younger audiences through Dr. Squatch’s direct-to-consumer DNA and polished social marketing capabilities.

Unilever plans to utilize its global infrastructure to expand Dr. Squatch internationally, as stated by Josh Friedman in a statement to Business of Fashion, “We’re thrilled to… positively connect with more consumers seeking high-quality, natural products around the world.” This move aligns with broader consumer trends toward natural, high-performance products and the growing influence of social media in brand engagement.

Summary Table of Key Metrics and Strategic Insights

To organize the information, the following table summarizes key metrics and strategic insights:

Metric/Insight	Details
Acquisition Price	$1.5 billion, reported by FT and other sources, though not disclosed officially.
Seller	Summit Partners, a private-equity firm.
Brand Sales	Exceeds $400 million, showcasing significant growth.
Target Demographic	Gen Z, with a focus on natural, high-performance products.
Marketing Strategy	Viral social media, influencer partnerships, and culturally relevant campaigns.
Unilever’s Strategy	Expand in premium, high-growth areas, scale internationally.
Previous Acquisitions	Recent purchase of Wild, indicating focus on digitally native brands.

This table encapsulates the financial, market, and strategic aspects of the acquisition, highlighting its significance for both companies.

Conclusion

The evidence leans toward Unilever acquiring Dr. Squatch for $1.5 billion, as reported by the Financial Times and confirmed by multiple sources, to expand its presence in the men’s personal care market and target Gen Z consumers. Dr. Squatch’s growth, with sales over $400 million, driven by innovative social media and influencer marketing, makes it an attractive addition to Unilever’s portfolio. Unilever plans to leverage this success to scale the brand internationally, aligning with its broader strategy of investing in premium, digitally native brands. This acquisition reflects broader consumer trends and positions Unilever to compete effectively in a dynamic market.