Grove Collaborative Stock In Focus After Acquisition Of Eco Products Maker Grab Green: Retail's Divided

Shares of Grove Collaborative Holdings Inc. ($GROV) slipped more than 1% on Tuesday as the company announced the acquisition of the assets eco-friendly cleaning products company, Grab Green, but retail sentiment was divided.

Financial terms of the deal were not disclosed.

Grove Collaborative is focused on sustainable consumer products in the health and wellness, laundry, clean beauty, baby, and pet care segments, among others. Grab Green’s product lineup of laundry detergents, dishwashing pods, and multipurpose cleaners complements Grove’s existing portfolio of sustainable offerings.

Sentiment on Stocktwits was ‘neutral’ compared to 'bullish' a week ago. Message volumes were in the ‘low’ zone compared to ‘high’ last week.

“Grab Green has been a trailblazer in creating safe, sustainable, and effective cleaning products that align perfectly with Grove’s mission of reducing the environmental impact of everyday household essentials,” said Jeff Yurcisin, CEO of Grove Collaborative. “This acquisition represents an exciting opportunity to scale our collective impact, bringing even more innovative and eco-friendly solutions to consumers while continuing to raise the bar for sustainability in our industry.”

With this deal, Grove and Grab Green, which became a third-party vendor of Grove in 2019, will build on their longstanding partnership, according to a company statement.  

“We are thrilled to join forces with Grove Collaborative, a company that shares our dedication to creating products that are safe for people and the planet,” said Patricia Spencer, co-founder of Grab Green.

“This collaboration marks a new chapter for Grab Green, one where we can reach more homes and have an even greater environmental impact,” added Michael Edell, co-founder of Grab Green.

Grove Collaborative stock is up 15% year-to-date.

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