Revlon to Acquire The Colomer Group for $660 Million
Revlon, announced that its wholly owned operating subsidiary, Revlon Consumer Products Corporation (RCPC), together with its subsidiaries, signed a definitive agreement to acquire all the stock of privately held The Colomer Group (TCG), which markets and sells professional products to salons such as CND and American Crew. The acquisition, which is expected to close in the fourth quarter of 2013 and is subject to certain customary conditions and regulatory approvals, supports Revlon’s strategic goal of driving profitable growth and expands its brand portfolio, channel distribution, and global reach
Commenting on the announcement, Revlon President and CEO, Alan T. Ennis said, “[The] acquisition, which we expect to be accretive to cash flow and earnings in the first year, represents a significant and logical strategic step forward for Revlon as it complements our core business, expands our distribution into new channels, and provides meaningful cost synergy opportunities. TCG’s presence in the professional salon channel, which Revlon currently does not serve, will expand our product offering and enable us to reach new consumers. We plan to capitalize on TCG’s extensive geographic and channel distribution, and leverage our collective innovation capability and leadership as we seek to drive growth across our expanded portfolio of brands.”
Lorenzo Delpani, Chief Executive Officer of TCG, added, “I am delighted that we are joining the Revlon family. My leadership team and the entire Colomer organization are very proud of our accomplishments in building our business, and we look forward to working with Revlon and continuing the positive momentum of our company.”
According to Ennis, Revlon will work collaboratively with the TCG organization to ensure a smooth transition and integration of the collective business. Delpani and his leadership team will play a key role in the integration and with respect to the continued success of TCG’s business. “This is a tremendous opportunity to both re-unite the Revlon brand name and for Revlon to continue to drive profitable growth,” he said.