French Beauty Giant L’Oréal Acquires Aesop for US$2.53 Billion
Cover Photo: Courtesy of Aēsop
rench beauty giant L'Oréal has signed its acquisition of Australian brand Aesop in a deal worth $2.53 billion USD, marking the biggest brand acquisition in the company's history. The move is seen as a strategic step towards expanding L'Oréal's presence in the growing natural and organic skincare market.
Founded in Melbourne in 1987, Aesop has gained a reputation for its minimalist packaging and high-quality plant-based ingredients. The brand has a loyal following of consumers who appreciate its commitment to sustainability and ethical production practices.
The acquisition of Aesop is part of L’Oréal’s broader strategy to tap into the growing trend of natural and organic skincare products. As consumers become more environmentally conscious and seek out products that are kinder to their skin and the planet, brands like Aesop have seen their popularity skyrocket.
The acquisition of Aesop is also expected to provide L’Oréal with an opportunity to expand its presence in the Asia-Pacific region, where Aesop has a strong following. The Australian brand has over 400 points of sale worldwide, with a significant presence in the Asia-Pacific region.
Speaking about the acquisition, L’Oréal CEO Nicolas Hieronimus said,
“Aesop is the epitome of avant-garde beauty, whose products are not only made with great care and exceptional attention to detail; they are a superb combination of urbanity, hedonism and undeniable luxury.”
The acquisition is expected to be completed in the second half of 2023, subject to regulatory approval. Aesop will continue to operate as a standalone brand within L’Oréal’s portfolio, with its founder Dennis Paphitis remaining as a consultant.
