L'Oreal buys Chinese Magic Holdings
The move comes one week after L'Oreal announced that its brand Garnier would stop selling its products in the country.
A document, which will provide further information about the deal, will be sent to Magic's shareholders in due course, L'Oreal said in a statement. The transaction is expected to close during the second quarter of this year.
Magic's facial mask brand MG is a good match for L'Oreal's consumer products division in China, L'Oreal said. By adding a major Chinese brand with a unique expertise to its portfolio, the consumer products division will be able to further accelerate its conquest of new consumers in the strategic Chinese market, it added.
Magic's turnover in the 2012-2013 fiscal year was about 160 million euros ($218 million). ■