Revlon to acquire Elizabeth Arden

By Sumit Modi

New York-based cosmetics company Revlon has entered into an agreement to buy Elizabeth Arden for $870 million.

Elizabeth Arden has a strong presence in the Asia-Pacific region, and Revlon hopes that the acquisition will aid its own global footprint. The former business has struggled in recent years, as it conducts the majority of its business through retail channels, while Revlon relies upon mainstream relailers and salons.

Both companies have a worldwide presence, and combined sales of $3 billion are predicted. Revlon has stated that it will pay $14 per share for Elizabeth Arden, which is a 50 percent premium on the pre-deal price.

Elizabeth Arden was born in Canada and founded her company in New York, 1910. The entrepreneur is credited with introducing American women to eye makeup, and inventing the concept of the makeover.

The strategic deal is set to close by the end of this year, enabling savings of around $140 million.

According to the BBC, Fabian Garcia, Revlon's Chief Executive, stated: "This acquisition is strategically and financially compelling.

"Combining our brands, talent, and global distribution will give our company a significant presence in all major channels and categories, while accelerating sales growth in existing and new geographic regions."


Follow @BizReviewUSA and @NellWalkerMG

Read the June issue of Business Review USA & Canada here


Featured Articles

Amelia DeLuca, CSO at Delta Air Lines on Female Leadership

Driving decarbonisation at Delta Air Lines, Chief Sustainability Officer Amelia DeLuca discusses the rise of the CSO and value of more women in leadership

Liz Elting – Driving Equality & Building Billion-$ Business

Founder and CEO Liz Elting Turned Her Passion into Purpose and Created a Billion-Dollar Business While Fighting for Workplace Equality – and Winning

JPMorgan Chase: Committed to supporting the next generation

JPMorgan has unveiled a host of new and expanded philanthropic activities totalling US$3.5 million to support the development of apprenticeship programmes

How efficient digital ecosystems became business critical

Technology & AI

Mastercard: Supporting clients at a time of rapid evolution

Digital Strategy

Why Ceridian has boldly rebranded to Dayforce

Human Capital