Elemis sold to L'Occitane Group for $900 million (£700m)
L'Occitane has entered an agreement to buy British professional skincare brand Elemis from Steiner Leisure in a deal worth $900 million (£700m).
Steiner Leisure is a portfolio company of private equity firm L Catterton, which acquired Elemis in 2015.
L'Occitane chairman and chief executive Reinold Geiger said, "We are pleased to welcome the Elemis business, brand and people to the L'Occitane family. It is a major step forward for L'Occitane in building a leading portfolio of premium beauty brands. Elemis is well positioned for continued global growth due to the brand's broad appeal, award-winning product portfolio, robust new product development pipeline and effective consumer-focused digital and brick-and-mortar distribution strategy.
He added, “We have long admired Elemis for their commitment to natural ingredients and scientific innovation, and we look forward to utilising our expertise in the category to expand the brand's footprint around the world."
Founded in 1990 by chief executive Sean Harrington and fellow directors Noella Gabriel and Oriele Frank, Elemis is known for hero ranges including Pro Collagen and the recently expanded Superfoods line. The brand has five strategic distribution channels – digital, retail distribution, QVC, professional spa and cruise ships.
Harrington said, "This agreement with L'Occitane…will strengthen the continued growth and momentum behind our timeless brand and remarkably transformative products. Reinold Geiger has a strong history of developing and supporting brands like ours that are creating products sourced from nature and developed through cutting-edge science and technology.
He added, “With his inspiring and entrepreneurial leadership, I am confident that through this transaction, we can continue to realize our mission of delivering extraordinary products and experiences and grow Elemis into one of the leading skincare brands in the world."
Marc Magliacano, managing partner of L Catterton's flagship buyout fund, said, "Since partnering with Steiner Leisure in 2015, we have worked alongside Elemis’s talented management team to invest in its innovation capabilities, expand its product assortment and evolve its go-to-market strategy with the ultimate goal of appealing to a wider consumer audience. This transaction represents a terrific outcome for Elemis and L Catterton, and we are confident that Elemis will thrive and reach new heights in partnership with L'Occitane."
The sale is expected to be completed in the first quarter of 2019.
L'Occitane International is a manufacturer and retailer of natural and organic beauty products. The Group owns five brands: L'Occitane en Provence, Melvita, Erborian, L'Occitane au Brésil and LimeLife by Alcone, and has more than 3,000 retail outlets, including over 1,500 owned stores, across 90 countries.