The beauty player has struck again – this time in Latin America
It’s another win for Coty. This time, the beauty heavyweight has acquired the personal care and beauty business of one of Brazil’s leading fmcg companies, Hypermarcas.
Coty will hand over $1bn in cash in return for five personal care brands: Monange (multi-category personal care); Risqué (nail polish); Bozzano (male grooming); Paixão (skin care); and Bicolor (hair colourant).
A number of these brands used to be owned by other industry players before being acquired by Hypermarcas when it underwent its own acquisition spree in 2008; that year Hypermarcas bought Bozzano from Revlon, and Risqué and Biocolor when it took over parent company Niasi.
Speaking about Coty's latest move, Bart Becht, Interim CEO and Chairman of the company, said: “We are excited to announce the acquisition of the beauty business of Hypermarcas, a leading beauty and personal care business in one of the world’s most important retail markets. We expect that the strength of the brands, the impressive leadership team and its robust infrastructure will enhance Coty’s competitive position and very much complement our contemplated merger with the P&G specialty beauty business. Today’s announcement is another step in our progression towards creating a pure-play global leader and challenger in beauty.”
In addition to brands, Coty will also take on responsibility for manufacturing and distribution facilities in the state of Goias, located in Brazil’s Center-West. The facility is expected to provide an “excellent platform” to integrate Coty’s existing business and the P&G business it recently acquired that already operates in Brazil.
Coty’s latest acquisition follows just weeks after its last. In October, the multinational snapped up digital marketing company Beamly, based both in the UK and US. Of course, earlier in the year, Coty changed the landscape of the global beauty industry when it bought 43 beauty and personal care brands from P&G.