IT Cosmetics will join the L’Oréal Luxe Division with its prestige offering
L’Oréal has signed an agreement to buy US beauty brand IT Cosmetics for US$1.2bn in a cash purchase deal.
The prestige cosmetics brand will join the L’Oréal Luxe Division on completion of the acquisition and will continue to operate out of its New Jersey office located in Jersey City under its existing management.
Nicolas Hieronimus, President L’Oréal Selective Divisions, said: “IT Cosmetics will perfectly complement the L’Oréal Luxe brand portfolio to satisfy the rising demand for make-up as well as hybrid skin care.”
IT Cosmetics was founded in 2008 by Jamie Kern Lima and Paulo Lima. It is currently co-owned by TSG Consumer Partners, which bought a minority stake in 2013.
Since its inception, the brand has expanded its distribution channels both inside and outside the US; it is now available via television shopping channels QVC and The Shopping Channel (TSC), ULTA and Sephora.
An attractive proposition for L’Oréal, IT Cosmetics generated net sales of $182m for the year ending June 2016, an increase of 56% on the previous year.
Jamie Kern Lima, Co-Founder & CEO, IT Cosmetics, explained that the deal with L’Oréal will help the brand scale up. “Our make-up and skin care products are not only game-changing in their innovation, they are also life-changing for real women everywhere.
“Partnering with L’Oréal and utilising the power of their global infrastructure will help us scale our mission in an even bigger way and we couldn't be more excited.”
The announcement comes just a few weeks after L’Oréal revealed it is in exclusive negotiations to acquire Mont-Blanc-based spa group Société des Thermes de Saint-Gervais-les-Bains and the licence to use the Saint-Gervais Mont Blanc brand.