{"id":43050,"date":"2019-05-22T13:13:16","date_gmt":"2019-05-22T17:13:16","guid":{"rendered":"https:\/\/thelehighacresgazette.com\/news\/?p=43050"},"modified":"2019-05-22T13:13:27","modified_gmt":"2019-05-22T17:13:27","slug":"133-year-old-avon-may-sell-to-body-shop-parent","status":"publish","type":"post","link":"https:\/\/thelehighacresgazette.com\/news\/2019\/05\/133-year-old-avon-may-sell-to-body-shop-parent\/","title":{"rendered":"133-year-old Avon may sell to Body Shop parent"},"content":{"rendered":"\n
\"\"<\/figure><\/div>\n\n\n\n

Avon is nearing a sale.<\/p>\n\n\n\n

The cosmetics brand is close to being purchased by Natura Cosmeticos, the latter company said Wednesday. The deal would be all-stock, Natura said.<\/p>\n\n\n\n

“The parties are currently … negotiating final contractual terms of the Transaction,” said the Brazil-based Natura in a press release.<\/p>\n\n\n\n

If the boards of the two companies approve the deal, it would mark the end of independence of Avon, the 133-year-old brand. Avon popularized the door-to-door cosmetic sales model in the mid-1900s, but its sales have continued to fall as consumers shift their shopping habits online.<\/p>\n\n\n\n

The deal could be announced as soon as Wednesday, the Wall Street Journal reported<\/a> , but said the price “couldn’t immediately be learned.” The Financial Times<\/a> reports the deal values Avon at more than $2 billion.<\/p>\n\n\n\n

Avon’s stock jumped 10% on Wednesday.<\/p>\n\n\n\n

Avon\u00a0confirmed the talks<\/a>\u00a0in a statement Wednesday, but added that “there can be no assurance any transaction will result from these discussions.” It declined to comment further. <\/p>\n\n\n\n

Natura’s purchase could help Avon gain a brick-and-mortar partner because the company also owns the Body Shop. Having the Avon brand could also help Natura expand its footprint outside of Latin America.<\/p>\n\n\n\n

Avon’s troubles date back several years.<\/p>\n\n\n\n

In 2012, it turned down an offer from rival Coty for $10 billion. A non-existent company once made a hoax takeover offer for Avon, which briefly made the stock pop.<\/p>\n\n\n\n

Avon was booted out of the blue chip S&P 500 in 2015 because its market value was too small, ending a half of century run on the index.<\/p>\n\n\n\n

The company also sold a majority of its North American makeup business to private equity firm Cerberus in 2015. Last month, that part of the business was sold once again to LG Household & Health Care\u00a0for $125 million.<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

Avon is nearing a sale. The cosmetics brand is close to being purchased by Natura Cosmeticos, the latter company said Wednesday. The deal would be all-stock, Natura said. “The parties… <\/p>\n","protected":false},"author":8,"featured_media":43051,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[128],"tags":[],"_links":{"self":[{"href":"https:\/\/thelehighacresgazette.com\/news\/wp-json\/wp\/v2\/posts\/43050"}],"collection":[{"href":"https:\/\/thelehighacresgazette.com\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/thelehighacresgazette.com\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/thelehighacresgazette.com\/news\/wp-json\/wp\/v2\/users\/8"}],"replies":[{"embeddable":true,"href":"https:\/\/thelehighacresgazette.com\/news\/wp-json\/wp\/v2\/comments?post=43050"}],"version-history":[{"count":0,"href":"https:\/\/thelehighacresgazette.com\/news\/wp-json\/wp\/v2\/posts\/43050\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/thelehighacresgazette.com\/news\/wp-json\/wp\/v2\/media\/43051"}],"wp:attachment":[{"href":"https:\/\/thelehighacresgazette.com\/news\/wp-json\/wp\/v2\/media?parent=43050"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/thelehighacresgazette.com\/news\/wp-json\/wp\/v2\/categories?post=43050"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/thelehighacresgazette.com\/news\/wp-json\/wp\/v2\/tags?post=43050"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}