L’OREAL IN AGREEMENT TO ACQUIRE COLORAMA
Byline: Jennifer Weil
PARIS — French beauty giant L’Oreal said it has signed a binding agreement to acquire Colorama, the Brazilian mass-market makeup and shampoo brand, from Revlon.
“With this acquisition, L’Oreal has strengthened the position it already holds in the Brazilian mass-market makeup sector with Maybelline,” said Joseph Bitton, managing director of L’Oreal’s Latin American operations, in a statement.
L’Oreal paid $54.1 million at current exchange rates for the company, including its industrial plant in Sao Paulo. “The plant will increase the group’s production capacity, enabling it to keep pace with the rapid expansion of L’Oreal brands already marketed in Brazil,” said L’Oreal in the statement.
L’Oreal has been operating in Brazil since 1960.
Colorama, launched in 1976, is number one in Brazil’s nail polish market and holds a “leading” position in its shampoo market, according to L’Oreal. Colorama registered net sales of $34.63 million, at current exchange rates, last year.