The transaction is expected to close in the second quarter of 2023, subject to regulatory approvals and closing conditions. Suave will continue to be owned and operated by Unilever outside of the US and Canada.
The Suave beauty and personal care brand includes hair care, skin care, skin cleansing and deodorant products.
'Shift In Portfolio'
"This is another step on our path to shift our portfolio towards strategic growth spaces, " said Esi Eggleston Bracey, president of Unilever USA and CEO of Unilever Personal Care North America.
"Suave has been a much-loved brand since the 1930s, and I am confident it will continue to thrive and serve consumers under its new ownership in North America."
Dana Schmaltz, partner of Yellow Wood Partners, added, "Suave is ubiquitously recognised for its long history of providing accessible high-quality beauty products to American consumers and we are excited to add it to our portfolio of investments."
"We especially want to thank Unilever for its collaboration as we move forward to completing this carveout."
In January, Unilever announced it has appointed Hein Schumacher to replace Alan Jope as chief executive from July 1.
Schumacher, 51, joined Unilever in October last year as non-executive director and is currently the chief executive of Dutch dairy business FrieslandCampina.
Underlying sales at Unilever rose 9.2% in the fourth quarter.
The London-based company reported quarterly underlying sales growth above expectations, helped by higher prices for its detergents, soaps and packaged food.