France’s L’occitane Group has announced its acquisition of the UK’s Elemis for around US$900 million.
The deal represents the company’s largest acquisition since it listed on the Hong Kong Stock Exchange in 2010 and marks a major step “in building a group of premium beauty brands”.
Under the deal, Elemis will become a wholly-owned subsidiary of the Group.
According to L’occitane chairman and CEO Reinold Geiger, the acquisition will further strengthen the company’s omni-channel distribution and product categories, particularly in skincare, in which it has invested substantially in recent years.
“This is L’Occitane’s largest acquisition since listing and a major step forward. Elemis presents a truly unique opportunity that fits us perfectly in terms of brand ethos, product quality, management capability, as well as growth and profitability trajectory.
“Elemis has enormous growth potential in untouched markets and channels, particularly in Asia Pacific where we have strong presence.”
Elemis founder and CEO Sean Harrington added that the deal will “strengthen the continued growth and momentum behind our timeless brand and remarkably transformative products”.
“L’occitane’s philosophy resonates closely with our own, in creating quality products sourced from nature and developed through cutting-edge science and technology.
“Together with the Group’s entrepreneurial leadership, I am confident about realising our mission to grow Elemis into one of the leading skincare brands in the world.”
Founded in 1976, the L’occitane Group manufactures and retails five brands – L’occitane en Provence, Melvita, Erborian, L’occitane au Brésil and LimeLife by Alcone – that are “rich in natural and organic ingredients”. The group has more than 3000 retail outlets, including 1555 owned stores in 90 countries. products that respect nature, the environment and the people who surround it.
Established in 1989, Elemis produces “premium quality beauty products that are sourced from natural ingredients with scientifically-proven formulas”.