Procter & Gamble’s all-cash deal for wellness brand Thorne contrasts with a $1 billion cost headwind in its fiscal 2027 outlook.
Procter & Gamble (PG) agreed to acquire Thorne, a science-backed health and wellness brand, for $3.8 billion in cash. The deal, announced by L Catterton on August 4, expands P&G’s presence in a category driven by clinical credibility rather than traditional retail shelf space.
The acquisition follows a fiscal 2027 earnings guide that fell short of expectations, with roughly $1 billion in new cost headwinds cited. P&G plans to maintain shareholder returns, targeting $10 billion in dividends and $5 billion in buybacks for the year.
Thorne’s 40-year history and proprietary AI wellness advisor were highlighted as key assets. The transaction is expected to close in the fourth quarter of 2026, with no debt or equity involved.