DE4CC0DE-5FC3-4494-BCBF-4D50B00366B5
A-Brands

Colgate To Buy Skin Care Business Of France's Filorga Cosmétiques

By Steve Wynne-Jones
Share this article
Colgate To Buy Skin Care Business Of France's Filorga Cosmétiques

Colgate-Palmolive Co is to buy the skin care unit of France's Laboratoires Filorga Cosmétiques for €1.5 billion, as the consumer goods company bolsters its personal care business.

Filorga's anti-aging skin care products are sold in over 60 countries, with its largest markets being France, Italy, Spain and Greater China.

'Distinctive Positioning'

“Filorga is a strong, premium-priced brand with distinctive positioning that fits well within our long-term personal care growth strategy," commented Noel Wallace, Colgate’s president and CEO.

"We are excited that this acquisition will add a high-growth, profitable, global skin care asset to the Colgate portfolio with the opportunity to drive continued growth through expanded distribution and awareness. This acquisition also provides Colgate entry into the fast-growing and sizeable travel retail channel, particularly in Asia.”

Colgate, which is known for its dental-care products, is looking to expand its presence in the high-margin personal care business and had acquired skin-care brands PCA Skin and EltaMD in 2017.

ADVERTISEMENT

The Filorga transaction will be financed with a combination of debt and cash and is currently expected to close in the third quarter, Colgate said, adding that the deal is expected to have no impact on its diluted earnings per share in 2019.

Citi was Colgate's financial adviser, while Goldman Sachs and BNP Paribas advised Filorga.

News by Reuters, edited by ESM. Click subscribe to sign up to ESM: European Supermarket Magazine.

Get the week's top grocery retail news

The most important stories from European grocery retail direct to your inbox every Thursday

Processing your request...

Thanks! please check your email to confirm your subscription.

By signing up you are agreeing to our terms & conditions and privacy policy. You can unsubscribe at any time.