Henkel signed an agreement to acquire all shares in the laundry and home care company Sun Products, based in Wilton, CT, from a fund of Vestar Capital Partners. The transaction is valued at around $3.6 billion, including debt.

The acquisition will be fully debt-financed and is underwritten by Deutsche Bank, JP Morgan and BNP Paribas.

“This transaction is a major strategic move for Henkel. North America is one of the most important regions for us worldwide. With the acquisition of Sun Products, we will improve our position in the U.S., the world’s largest laundry care market, and Canada,” said Henkel CEO Hans Van Bylen.

With the acquisition, Henkel will advance to a No. 2 position in the laundry care market in North America.

Sun Products has a portfolio of laundry care brands, such as all and Whisk as well as the fabric conditioner Snuggle. The company also develops and manufactures laundry brands for leading retailers in North America. In fiscal 2015, the company generated sales of about $1.6 billion in the U.S. and Canada. Sun Products employs approximately 2,000 people and has two production sites and one R&D center in the U.S.

The closing of the transaction is subject to regulatory approval and other customary closing conditions.

Perella Weinberg Partners and Credit Suisse served as financial advisors, Cleary Gottlieb Steen & Hamilton served as legal advisor to Henkel in connection with this transaction.

Headquartered in Dusseldorf, Germany, Henkel is organized into three globally operating business units: Laundry & Home Care, Beauty Care and Adhesive Technologies