On 23 September 2022, L’Oréal signed an agreement to acquire Skinbetter Science, a physician-dispensed American skincare brand backed by cutting-edge, dermatological science, combining patented efficacious ingredients with luxurious sensorial textures.
Skinbetter Science was co-founded in 2016 by pharmaceutical industry professionals, Jonah Shacknai, Justin Smith and SethRodner, and has since become one of the fastest growing medical-dispensed skincare brands in the United States.Skinbetter Science is known for formulating innovative products with active ingredients for anti-aging, moisturizing, cleansing, exfoliating, skin peeling and sun protection. The brand is strongly supported by deep knowledge of skinand chemistry with clinical trials led by board-certified dermatologists.
Skinbetter Science’s products are mainly available through a network of leading dermatology, plastic surgery and medical aesthetics practices throughout the United States, powered by a national medical sales team.
Headquartered in Arizona, the brand’s leadership team will continue to run the business following the acquisition and will be integrated under the leadership of the President of the Active Cosmetics Division within L’Oréal USA.
This acquisition was completed on 14 October 2022 and has been fully consolidated since that date.
The cost of this new acquisition represented €858.4 million. The total amount of goodwill and other intangible assets resulting from their acquisitions provisionally amounted to €818.3 million.
In 2022, the acquisition of Skinbetter Science represented€105.9 million in full-year net sales and €18.7 million in full-year operating profit.
On 1 February 2021, L’Oréal finalised the acquisition of Takami Co. This company develops and markets under licence products from the Takami skincare brand; owned by Dr. HiroshiTakami, the founder of the two eponymous dermatology clinics in Tokyo. Mainly available in Japan and in some Asian countries, notably in China.
At the same time, L’Oréal also renewed the brand licensing agreement with Dr. Takami for a very long period and signed a collaboration agreement with the Takami clinics. Takami will be integrated into the L’Oréal Luxe Division.
In 2021, the acquisition of Takami represented €54.4 million in full-year net sales and -€7.7 million in full-year operating profit.
On 8 December 2021, L’Oréal signed an agreement to acquire Youth to the People, a skincare company based in California inspired by superfood.
Youth to the People develops and markets high-performance skincare products known for innovative formulas that combine premium vegan blends of superfood extracts and science.
Available in the US, Canada, Australia and in select European countries where it enjoys a very strong appeal, the brand is marketed through an omnichannel distribution – mix of D2Ce‑commerce and selective distribution.
The brand will be integrated into the L’Oréal Luxe Division. In 2021, Youth to the People is expected to record over$50 million of sales. This acquisition was completed on29 December 2021 and has been fully consolidated since that date.
The cost of these new acquisitions represented €524.3 million. The total amount of goodwill and other intangible assets resulting from their acquisitions amounted to €507.7 million(of which €336.7 million of intangible assets related to Youth to the People).
On 31 March 2021, L’Oréal finalised the sale of the Cosmeurop production site, located in Strasbourg, France to the Superga group.
On 31 March 2020, L’Oréal finalised the acquisition of the Mugler and Azzaro brands and perfumes belonging to the Clarins group for a cash amount of €1.3 billion, net of cash acquired.
This acquisition has been fully consolidated since that date.
On 18 June 2020, L’Oréal announced the acquisition of US skincare brand Thayers Natural Remedies. The brand will be integrated into L’Oréal’s Consumer Products Division.
The distribution strategy, initially focused on a network of natural products stores, has evolved into a multi-channel approach that today includes mass-market retailers, specialised retailers, drug stores and online distribution. In 2019,Thayers generated sales of US$44 million. The acquisition was completed on 31 July 2020 and has been fully consolidated since that date.
The cost of these acquisitions represented €1.7 billion. The total amount of goodwill and other intangible assets resulting from these acquisitions amounted at their acquisition dates to€1,464 million for Azzaro and Mugler and €304.3 million portrayers.
In 2020, these acquisitions represented €275.7 million in full-year net sales and €34.9 million in full-year operating profit.
