PARIS — L’Oréal said on Tuesday it had completed the acquisition of Magic Holdings International Ltd. after shareholders of the Chinese maker of cosmetics facial masks approved the deal at a general meeting. As previously reported, the transaction is worth an estimated $840 million.
“This is the most important acquisition for L’Oréal since the acquisition of Yves Saint Laurent Beauté in 2008,” Jean-Paul Agon, chairman and chief executive officer of L’Oréal, said in a statement. “This acquisition marks the acceleration of our conquest of new consumers in China.”
Yuyuan She, ceo of Magic Holdings, said it was “delighted” to join L’Oréal.
“We believe our brand will benefit from L’Oréal’s extensive science based expertise and its world-class management experience and know-how. This move will help to build the special value of the facial mask sector, continuously grow the sector and strengthen MG’s leadership,” he said.
Facial masks are among the hottest growing categories in the Chinese beauty market. Magic Holding’s MG brand is one of the segment’s sales leaders.
L’Oréal said the MG brand complements L’Oréal’s Consumer Products Division in China, which manages two number-one-ranked brands locally, L’Oréal Paris in beauty and Maybelline New York in makeup. The two labels are also first in their respective product categories globally.