L’Occitane acquires stake in Brazilian premium magnificence model Sol de Janeiro

THAT WHAT? L’Occitane has acquired a majority stake in the Brazilian premium beauty brand Sol de Janeiro and has taken an indirect stake of 83 percent.

THE DETAILS The acquisition was based on a valuation of $ 450 million and was funded by the group’s cash on hand and existing banking facilities.

Sol de Janeiro is a lifestyle skincare brand aimed at ‘cross-generational, modern and global consumers from Generation Z to Millennials’.

WHY? The acquisition is intended to be in line with L’Occitane’s strategy of building a leading portfolio of premium beauty brands.

L’Occitane stated that Sol de Janeiro was “strategically” “strategically” for the company in terms of brand recognition and identity, product quality, management skills, and growth, profitability and cash generation prospects.

André Hoffmann, Vice-Chairman & Chief Executive Officer of L’Occitane, said: “In recent years the group has accelerated its M&A activities with the support of the strong cash-generative qualities of our core brand L’OCCITANE en Provence. and more recently the ELEMIS brand. We look forward to further expanding our brand portfolio and accelerating our transformation into a cross-brand and geographically balanced group.

“With a convincing brand history and an experienced and entrepreneurial management team, Sol de Janeiro reflects our values ​​and our premium beauty image. It has tremendous growth potential in new and existing markets and channels around the world and will have an immediate positive impact on the Group’s results and contribute to healthy and profitable growth in the short and medium term. “

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