L'Occitane swoops for Elemis
Luxury cosmetics firm L'Occitane has agreed to buy beauty and skincare brand Elemis for about $900m (€785m) as part of an effort to expand in the US and UK with its biggest deal on record.
The deal is the latest in a spate of acquisitions of high-end skincare brands, with demand for natural beauty products on the rise in Asia - a trend that has also lifted cosmetics giant L'Oreal.
L'Occitane said the acquisition will bolster the group's growth globally, with plans to bring the Elemis label into new markets. The brand has been popular among millennial and Generation X consumers.
"It is a major step forward for L'Occitane in building a leading portfolio of premium beauty brands," said CEO Reinold Geiger. "Elemis is well-positioned for continued global growth." The purchase will be funded by L'Occitane's cash and bank borrowings, according to a company filing.