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Coty Projects Higher Costs For P&G Deal, Orphan Brand Challenges

 
• By Lauren Nardella

Costs associated with integrating 41 P&G beauty brands are estimated to reach $1.2bn over the next four years, more than doubling Coty's projections when the mega-deal was announced last year, and investments will be needed to galvanize the currently under-supported orphan assets. However, Coty is projecting $780m in synergies and room for further growth as a $9bn beauty force to be reckoned with.

[Coty Inc.] has its hands full as it works to maintain its underlying business while integrating 41 Procter & Gamble Co.beauty brands – a more costly task than initially anticipated – all of which weighed on its fiscal 2016 third-quarter results.

However, the New York-based firm remains optimistic about its future prospects as it stands to emerge from the P&G transaction...

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Ulta ‘Beauty Unleashed’ Investment Delivers In Fiscal Q1

 
• By Eileen Francis

Retailer Ulta Beauty, Inc. reports net sales in the fiscal first quarter beat consensus estimates, rising 4.5% to $2.85bn, as the company sees benefits of its recently announced ‘Beauty Unleashed’ initiative.

E.l.f. Plans To Acquire Hailey Bieber Beauty Brand For $1Bn

 
• By Eileen Francis

E.l.f. Beauty, Inc. has agreed to acquire celebrity and model Hailey Bieber’s rhode lifestyle beauty brand for $1bn, the firm reported during a 28 May fiscal fourth quarter earnings call, during which it also announced plans to raise product prices to ‘partially’ mitigate the impact of tariffs.

Shiseido’s Key Priorities: Recover Drunk Elephant, Accelerate NARS Amid US Prestige Slowdown

 
• By Eileen Francis

Shiseido’s Drunk Elephant premium skin care range – acquired in 2019 – and its NARS brand dragged sales in the Americas region down almost 20% in the first quarter, the firm reported in a 12 May earnings presentation.

IFF Offsets Tariffs’ Impact, But Discretionary Product Ingredients Face Risk

 
• By Eileen Francis

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More from Business

Beauty Deal Roundup: Ulta Acquires British Beauty Retailer SpaceNK, Unilever Picks Up Dr. Squatch

 
• By Eileen Francis

Illinois-based Ulta Beauty, Inc. acquires leading British beauty retailer SpaceNk from Manzanita Capital for an undisclosed price. Unilever PLC purchases Dr. Squatch personal care from Summit Partners.

Beauty Market Uncertainty Stalls Large M&A, But Middle-Market Deals Continue – Capstone

 
• By Eileen Francis

Middle-market beauty deals, which are defined as those with targets of $10m to $100m worth of enterprise value, are driving transaction momentum year-to-date that is in-line with levels during the same period last year, according to Capstone Partners’ Consumer Investment Banking Group.

Perrigo Implements Streamlining Plan With Sale Of Dermacosmetics

 
• By Tom Gallen

Perrigo stands to gain up to €327m with sale of brands such as ACO and Emolium to KKR.