PARIS — Sephora SA has acquired a 45 percent stake in Russian selective perfumery chain Ile de Beauté, the LVMH Moët Hennessy Louis Vuitton-owned retailer announced Friday.
As part of the deal, Sephora will have the option to become a majority shareholder in the chain “over time,” the company stated. Ile de Beauté will count about 100 doors by the end of the year.
“This transaction will enable Sephora to become a major player in this high-growth market over the next few years,” the firm added. “Ile de Beauté is one of the leading distributors of perfume and cosmetics in Russia. This move is fully aligned with Sephora’s international strategy to expand into markets with strong potential. Russia is a very high-growth market for perfumes and cosmetics and has become one of the leading markets in Europe in this area.”
Sephora already has a franchising deal in Russia with Alkor, which operates Sephora-branded doors there. That agreement will end in 2010. Ile de Beauté stores are concentrated within large towns all over the Russian Federation, Sephora said.