Cosmetics giant, L'Oréal, secures a significant share in the skincare line of Medik8, a UK-based company.
Hey there! Breaking news, beauty enthusiasts! L'Oréal, the French powerhouse in cosmetics, has got itself a new asset - and it's all about skincare!
This week, L'Oréal confirmed the acquisition of a majority stake in Medik8, a UK-based skincare brand that specializes in premium anti-ageing treatments. Sources report the deal could be valued at around €1bn, although L'Oréal hasn't officially disclosed the cost.
Despite the private equity firm Inflexion keeping a minority share, the current management team will stay on board. L'Oréal's President of L'Oréal LUXE, Cyril Chapuy, seems thrilled: "Medik8 is a fantastic fit for our existing skincare portfolio. We're excited to welcome them on board!"
The beauty industry has been buzzing with the science-driven skincare trend, and L'Oréal's not about to miss the ride. Some of the brands they're already rolling with include La Roche-Posay, Cerave, Vichy, Skinceuticals, and Skinbetter Science – all under their Dermatological Beauty Division. This division is L'Oréal's fastest-growing, bringing in over €7bn in revenue in 2024, marking a nearly 10% year-on-year increase.
Not content to rest on their laurels, L'Oréal has been making moves to expand their portfolio. They bought soap maker Aesop in 2023, and Korean beauty brand Dr.G in December. But it doesn't stop there: last year, they acquired a 10% stake in skincare firm Galderma and also secured the beauty license for Miu Miu.
Medik8, established in 2009 by chemist Elliot Isaacs, is a brand that's gained traction with dermatologists and consumers alike, thanks to their clinically validated products. Among their standout offerings is the Crystal Retinal serum, which has earned a reputation for its anti-ageing properties.
With this new addition to its skincare roster, L'Oréal's not just cashing in on the dermocosmetics boom – they're taking charge and setting themselves up for a bright future in the beauty industry. So stay tuned, folks, because this is a whole new level of glam!
- Trending in Beauty: Skincare, Mergers and Acquisitions, L'Oréal, Luxury, Luxury Goods, Cosmetics Industry
- In the ever-evolving landscape of fashion-and-beauty and luxury goods, L'Oréal's various business investments demonstrate their strategic focus on the booming cosmetics industry.
- As L'Oréal continues to expand its skincare portfolio, the addition of Medik8 signifies a substantial step in the finance sector, positioning L'Oréal as a dominant player in the anti-ageing skincare lifestyle market.
