The Procter & Gamble Company announced the signing of a definitive agreement to merge 43 of its beauty brands with Coty Inc. in a Reverse Morris Trust Transaction. Among others, the transaction includes P&G’s Salon Professional business.
P&G Chairman, President and Chief Executive Officer A.G. Lafley commented, “This represents a significant step forward in the work to focus our portfolio on the 10 categories and 65 brands that best leverage P&G’s core competencies. Coty will provide an excellent new home for the businesses and brands we are merging today, as well as for the talented people who are operating them.”
This agreement will enhance Coty's beauty portfolio and expand its offering in the salon professional channel, where it has already built a nail care category presence through the acquisition of OPI in 2010.
“We are delighted and privileged to join forces with the Wella team and its portfolio of iconic salon brands," said Bart Becht, chairman and CEO of Coty. "The salon channel is a large and attractive category at the very top end of beauty, and Wella is a key building block of our growth strategy. With its legacy, unique brand portfolio and highly capable organization, Wella has firmly earned its place as a leading partner for hair salons. We are looking forward to being a part of its continued success.”
“As two iconic houses strongly anchored in their beauty heritage, Coty and Wella are a perfect fit. We are both driven by a passion for beauty, creative freedom and the entrepreneurial spirit that was embodied by our founders. We are honored to join the Coty family and are excited about the possibilities this represents for Wella’s mission of elevating hairdressers and the hairdressing industry,” said Sylvie Moreau, global executive vice-president of Wella.
