According to multiple sources and first reported by Turkish media, Yves Rocher has bought a 51% stake in Turkish beauty products company Flormar, a deal estimated at $150 million.
With sales of more than $100 million per year, Flormar exports its products to more than 80 countries on four continents, according to the company. The company, founded in Milan in 1972, has 98 of its own brand shops in Turkey and more than 200 abroad.
According to a report from The Smart Cube published by GCI in March 2012, Turkey’s consumer spending is expected to increase significantly in the next decade due to sustained economic growth and a favorable demographic makeup. According to industry reports, in 2010, Turkey’s beauty care market grew by more than 10% to $2.8 billion and although the sales of premium beauty products have recently declined, rising disposable income is likely to cause consumers to trade up into the premium beauty segment over time. Thus, Turkey may present a strategic opportunity.
Among other expansions into the region, Shiseido established Shiseido Kozmetik Anonim Şirketi (Shiseido Turkey, located in Istanbul, Turkey) as a joint venture with major Turkish cosmetics import and sales distributor Vesco Kosmetik Ürünleri Paz. ve Tic. Ltd. Sti in October 2011.