Unilever is considering a bid of up to £3 billion (approximately $4 billion) for the US-based dietary supplements company Thorne, as part of a broader strategy to accelerate growth through acquisitions. The potential offer comes amid a significant shake-up at the consumer goods giant, which also recently announced a deal to combine its food division with US spice maker McCormick.

Thorne, founded in 1984 and primarily serving the US market, is expected to generate roughly $650 million in revenue this year. The company offers a range of dietary supplements, including magnesium and omega-3 pills, and targets a predominantly young adult customer base. Under the ownership of L Catterton, a private equity firm backed by LVMH, Thorne has reportedly grown at a compound annual revenue rate exceeding 30% since its take-private deal for $680 million in 2023. The current sale process values the company at up to $4 billion, representing a substantial return for L Catterton, which purchased the firm for significantly less just three years ago.

Unilever, which owns consumer brands such as Marmite, Dove, and Domestos, is reportedly among several bidders interested in acquiring Thorne. While sources note that no final decisions have been made and both Unilever and L Catterton have declined to comment, the move aligns with Unilever CEO Fernando Fernandez’s ongoing efforts to shift the company’s focus towards faster-growing beauty and wellbeing sectors. Unilever’s recent acquisitions in this space include hydration brand Liquid IV, hair supplement company Nutrafol, and vitamin brands Olly, SmartyPants, and Grüns. Its wellbeing division saw double-digit sales growth last year.

However, Unilever’s aggressive acquisition strategy has faced criticism in the past. Previous purchases such as Dollar Shave Club, acquired for $1 billion in 2016, were later divested after integration challenges, while another subscription-based company, Graze, also failed to meet expectations. Investors reacted negatively to Unilever’s announcement of the food business combination with McCormick, with shares falling approximately 7%, amid concerns over the resulting indebtedness of the combined entity, in which Unilever will hold a 65% stake.

The potential acquisition of Thorne would represent a significant investment as Unilever seeks to bolster its position in the growing supplements market, but the outcome remains uncertain as the auction process continues and multiple suitors evaluate the opportunity.