L’Occitane might be an interest for Advent
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Hong Kong-listed beauty products retailer L’Occitane may be taken private after at least one expression of interest in the business from a private equity investor. London-based private equity group Advent International has reportedly enquired about acquiring the company, which has an estimated US$2.7 billion market value.
L’Occitane’s appeal has grown since listing on the HKSE eight years ago in a move to pursue Asian customers. While none of the parties involved have commented, sources close to L’Occitane have confirmed to European business media that “a number of potential buyers” are showing signs of interest.
L’Occitane is thought to be well-positioned to take advantage of a fast-growing cosmetics and skincare market in the region, brought on by the expansion of the middle class and the Chinese tourism boom.
L’Occitane’s is chaired by Austrian investor Reinold Geiger, who has overseen its growth internationally to 1555 outlets in 90 countries. The firm is experiencing sales growth in Hong Kong and China, as well as the US.
It recently unveiled new concept stores in Canada and New York showing its future direction.
Questions & Answers
Q.Which private equity firm has reportedly shown interest in acquiring L’Occitane?
Which private equity firm has reportedly shown interest in acquiring L’Occitane?
London-based private equity group Advent International has reportedly enquired about acquiring the company. This comes after at least one expression of interest in the business from a private equity investor was noted.
Q.What is the estimated market value of L’Occitane?
What is the estimated market value of L’Occitane?
L’Occitane has an estimated market value of US$2.7 billion. This valuation positions it as a significant acquisition target within the beauty products retail sector.
Q.What are the reasons for L’Occitane's increased appeal to potential buyers?
What are the reasons for L’Occitane's increased appeal to potential buyers?
L’Occitane's appeal has grown since listing on the HKSE eight years ago, aiming for Asian customers. It is also well-positioned to benefit from the fast-growing cosmetics and skincare market in the region, driven by the middle-class expansion and Chinese tourism boom.
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