The largest and the most popular company in the cosmetics industry, L’Oreal, is set to buy both Decleor and Carti brands of the Japanese company Shiseido Co. The acquisition is valued at €230 million ($316 million).
This deal follows up the buyback offer by L’Oreal for its 8% of its stock from Nestle for a whopping $8.8 billion.
As per the statement released by Shiseido, there had been talks regarding the two companies and this particular transaction since October last year. The products by Carita and Decleor are essentially sold in Europe.
Elaborating on the statement further Shiseido stated that their primary focus was on offering health care products throughout Asia. Presently Carita distributes its products in over 56 countries while the products of Decleor are available in 80 countries.
The year ending sales of both these brands clubbed together in the year 31st December 2012 touched €1 million.
Shiseido as we know is the largest cosmetics company of Japan and ranks 4th in the world. It is currently operating within Asia, Europe and the United States of America. As per a statement released by the company they stated that they are determined to sell the brands while working rigorously towards a strategy based operation in the Asian continent.