Colgate-Palmolive to acquire Filorga skin care business for $1.7bn

Colgate-Palmolive acquisition of Filorga skin care business : Global consumer products company Colgate-Palmolive has agreed to acquire the skin care business of France-based Laboratoires Filorga Cosmétiques (Filorga) for €1.495 billion ($1.69 billion).

The acquisition of Filorga skin care business is part of Colgate-Palmolive’s strategy to focus on its higher-margin personal care, oral care, and pet nutrition businesses, and growing its portfolio in premium skin care.

Filorga is a premium anti-aging skin care brand, which is mainly focused on facial care. Originally founded in 1978 in France, the skin care brand is currently sold across more than 60 countries.

The largest markets for the Filorga skin care brand are France, Spain, Italy, and Greater China. The skin care brand is said to leverage a multi-channel distribution strategy across pharmacy, specialty stores, travel retail, and online.

Colgate-Palmolive acquisition of Filorga skin care business. Photo courtesy of Beyond My Ken/Wikipedia.org.

Commenting on Colgate-Palmolive acquisition of Filorga skin care business, Noel Wallace – Colgate-Palmolive President and CEO, said: “Filorga is a strong, premium-priced brand with distinctive positioning that fits well within our long-term personal care growth strategy. We are excited that this acquisition will add a high-growth, profitable, global skin care asset to the Colgate portfolio with the opportunity to drive continued growth through expanded distribution and awareness.

“This acquisition also provides Colgate entry into the fast-growing and sizeable travel retail channel, particularly in Asia.”

Colgate-Palmolive acquisition of Filorga skin care business will be financed with a mix of debt and cash and subject to receipt of regulatory approvals in some countries, is likely to be wrapped up in Q3 2019.