L'Occitane has announced that is has acquired an approximate 83% stake in skin and body care brand Sol De Janeiro.
The equity stake is based on a valuation of $450 million and is in line with the group’s strategy of building a leading portfolio of premium beauty brands.
André Hoffmann, vice-chairman and CEO of L’Occitane, said: “In the past few years, the Group has accelerated its M&A activity with the support of the strong cash generative qualities of our core L’OCCITANE en Provence brand, and more recently the ELEMIS brand. We are delighted to be further expanding our brand portfolio and accelerating our transformation into a multi-brand and geographically-balanced group. With a compelling brand story and an experienced and entrepreneurial management team, Sol de Janeiro reflects our values and premium beauty image. It has enormous potential for growth in new and existing markets and channels around the world and will be immediately accretive to the Group’s results, contributing to healthy and profitable growth in the short and medium term.”
Heela Yang, CEO and co-founder of Sol de Janeiro, said: “It has been my dream to reach all corners of the globe with the warmth and the joy of the brand and our exceptional iconic products. I have always admired L’Occitane and its beautiful lifestyle brands anchored in their deep commitment to sustainability, and we are thrilled to have found a home with the Group to continue to drive our explosive growth. Furthermore, we are ecstatic to have found a partner who so deeply respects the brand vision and values of inclusivity, joy and self-celebration. Together with the Group’s entrepreneurial leadership and global support, we are confident that the brand will flourish and grow into a leading lifestyle skin care brand.”