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By
Reuters
Published
Nov 2, 2015
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Coty to buy Brazilian Hypermarcas' beauty unit for $1 bln

By
Reuters
Published
Nov 2, 2015

Perfume maker Coty Inc will buy the personal care and beauty business of Brazilian consumer goods maker Hypermarcas SA for about $1 billion in cash, three months after agreeing to buy 43 similar brands from Procter & Gamble.


Coty


Coty, which makes fragrances for brands such as Calvin Klein and Marc Jacobs, has been expanding its product portfolio as demand for its perfumes weakens due to fierce competition.

The business being bought from Hypermarcas includes brands such as Monange personal care products and Risque nail polishes and generated net revenue of about $253.5 million as of 2014, Coty said on Monday.

The company said the latest acquisition will complement the specialty beauty business it is buying from Procter & Gamble Co .

Coty said in July it would buy brands, including Wella and Clairol hair treatment products, from P&G for $12.5 billion.

Hypermarcas, the largest Brazilian producer of personal care goods, was mulling adding its consumer goods operations to its planned spin-off of its diaper unit, according to a media report in September.

A source told Reuters last month that Hypermarcas was in talks to sell its diaper business to Kimberly-Clark Corp , the maker of Huggies diapers.


 

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