Loyalty has its rewards.
LVMH Moët Hennessy Louis Vuitton has acquired luxury botanical skin care brand Ole Henriksen.
The Scandinavian skin care range entered LVMH-owned Sephora in 2006, and has steadily expanded across the beauty retailer’s doors domestically and abroad.
“I sent a goodie package to Sephora about eight years ago,” said the line’s namesake and founder Ole Henriksen on how he landed in Sephora. “My loyalty has stayed with Sephora and the reason is I love the way it goes about doing business.”
Referring to his decision to sell the brand that he has been building since 1985, Henriksen said, “Every brand reaches a certain plateau, and has to ask, ‘Do I need more muscle behind me?’” For Henriksen, that point came last year as the brand entered Sephora doors in China, and he was faced with navigating the country’s new ingredient registration requirements.
Henriksen said he will continue to develop products for the line and act as brand spokesman in his role as visionary-creative director. The company will continue to be based out of Los Angeles, and expects to appoint a new chief executive officer early this year, who will report to David Suliteanu, ceo and president of Sephora Americas.
The brand is sold in 25 countries, with a large presence in Scandinavia. The deal will potentially expand Ole Henriksen’s reach to Mexico, via Sephora’s venture with Grupo Axo of Mexico City, and to Brazil, through LVMH’s partnership with Rio de Janeiro-based online retailer Sack’s, said Jeff Menashe, chairman of Demeter Group, the San Francisco-based investment bank that acted as exclusive financial adviser to the skin care brand.
In North America, Ole Henriksen is sold in all of Sephora’s U.S. stores, including the retailer’s outposts in J.C. Penney, in Canada and on the TV shopping network HSN. It also is sold in a number of spas and small boutiques across the U.S.
Henriksen’s spa, the Ole Henriksen Face/Body spa in Los Angeles, is not included in the deal.