L’Occitane International SA is making waves in the luxury skincare industry as reports suggest a potential buyout bid from Blackstone. The Hong Kong-listed firm saw its shares soar to a two-year high following the news.
According to sources familiar with the matter, Blackstone is in the preliminary stages of evaluating a bid for L’Occitane, with considerations for teaming up with L’Occitane’s chairman, Reinold Geiger. The move underscores the private equity giant’s interest in expanding its presence in the cosmetics sector.
Shares of L’Occitane surged by as much as 15.4% to HK$30, reflecting investor optimism about the company’s future prospects. However, both Blackstone and L’Occitane declined to comment on the speculations.
While Blackstone explores the potential buyout, other suitors may also express interest in L’Occitane, given its strong market position and growth potential. The discussions are still in their early stages, and there is no certainty that they will lead to a formal proposal.
For L’Occitane, the buyout rumours mark a significant development after a previous decision by chairman Reinold Geiger to forgo a deal to take the company private last September. The move comes at a time when Hong Kong is witnessing increased activity in the buyout market, especially among Western firms looking to expand in the Chinese market.
As the situation evolves, stakeholders eagerly await further developments, anticipating the potential impact on L’Occitane’s future trajectory in the luxury skincare industry.