Natura to sell Aesop to L’Oreal
Natura & Co is to sell its Aesop luxury skincare brand to L’Oréal in a $2.5 billion deal.
The acquisition is expected to complete in the third quarter of 2023.
Aesop has been owned by Natura for the last ten years during which time its gross sales have increased from $28 million to $537 million. The brand has also expanded its geographic footprint from eight markets to 29 and has recently opened its first physical stores in mainland China.
Natura said the sale will free up resources for its strategic priorities.
Fabio Barbosa, chief executive of Natura & Co, explained: “The divestment of Aesop marks a new development cycle for Natura &Co. With a strengthened financial structure and a deleveraged balance sheet, Natura &Co, exercising strict financial discipline, will be able to sharpen its focus on its strategic priorities, notably our investment plan in Latin America.
“We will also be able to concentrate on continuing to improve The Body Shop’s business and refocusing Avon International’s footprint.”
Nicolas Hieronimus, chief executive of L’Oréal Groupe, added: “I am very excited to welcome Aesop and its teams to the L’Oréal Groupe family. Aesop taps into all of today’s ascending currents and L’Oréal will contribute to unleash its massive growth potential, notably in China and Travel retail.”
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