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L’Occitane Purchases ELEMIS To Expand Skincare Offerings

L’Occitane will acquire ELEMIS, a UK-based beauty and skincare producer, for a maximum consideration of $900 million. The deal will strengthen L’Occitane’s omnichannel distribution and product categories, particularly in skincare.

ELEMIS sells its products both directly to consumers via its web sites and through retailers, combining both operations to drive awareness, trial, conversion and retention. The retailer will leverage L’Occitane’s geographic footprint to enter new global markets, including in Asia.

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“This is L’Occitane’s largest acquisition since listing and a major step forward in building a group of premium beauty brands,” said Reinold Geiger, Chairman and CEO of L’Occitane in a statement. “ELEMIS presents a truly unique opportunity that fits us perfectly in terms of brand ethos, product quality, management capability, as well as growth and profitability trajectory. ELEMIS has enormous growth potential in untouched markets and channels, particularly in Asia Pacific where we have strong presence.”

L’Occitane is planning to groom other brands for the global market through the launch of Obratori, a start-up studio in Marseille, France. The retailer has partnered with Aix-Marseille University to support startups that produce cosmetics and well-being products, as well as digital retail solution providers.

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