THE WHAT? Brazilian beauty group Natura has finalised the sale of Avon International to US-based investment firm Regent LP, while retaining ownership of the Avon brand and operations across Latin America.
THE DETAILS The transaction, first announced in September, was completed on December 31 and transfers control of Avon International outside Latin America to Regent LP. Natura confirmed that the deal does not include Avon’s business in Russia.
Under the terms of the agreement, Natura received a nominal consideration of £1 for Avon International. However, the company will continue to support the business through a secured credit facility of US$25 million, available until December 2026 and carrying a five-year maturity. The Avon brand, including economic rights and intellectual property in Latin America, remains fully owned by Natura.
THE WHY? The move reflects Natura’s ongoing efforts to simplify its global structure and refocus on its core Latin American markets, which accounted for 85 percent of group turnover in the most recent quarter. While the group has reduced losses year-on-year, its performance continues to be shaped by uneven regional conditions, including a slowdown in Brazil’s beauty market and operational challenges in Argentina, partially offset by recovery in Mexico. Retaining Avon’s Latin American business underscores the strategic importance of the region to Natura’s long-term turnaround plans.
Source: Fashion Network
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