PARIS — Four years after taking majority control of Kibio, Groupe Clarins will discontinue the organic beauty brand starting in February.
“We didn’t feel that the market had enough potential, so we decided we have other priorities,” Philip Shearer, chief executive officer of Groupe Clarins, told WWD.
Clarins took 100 percent control of Kibio in late January 2010, four years after it acquired a 10 percent stake in the brand and subscribed to the full amount of a convertible bond issue. At that time, the investment was 3 million euros, or $4 million at current exchange. The conversion of the bonds was allowed beginning in 2008 and existed to enable Clarins to increase its shareholding in Kibio to 60 percent. In July 2009, Clarins became the brand’s majority stakeholder.
Pierre Cabanne and Laurent Potier created Kibio in 2005. It was inspired by the idea of Chinese energy, called Qi.