There has been mounting speculation this week that Procter & Gamble is looking to divest part of its beauty portfolio. Some of these whisperings came into fruition yesterday, with news Inter Parfums is acquiring the Rochas brand.
The acquisition is expected to be completed in the first half of 2015, and will see Inter Parfums purchase the brand names and registered trademarks for Rochas (including Femme, Madame, and Eau de Rochas) from The Procter & Gamble Company. The deal is reportedly worth $US108 million and will include both the cosmetics and fashion portfolios.
“For the first time, this acquisition will integrate both fragrances and fashion. It will open up new opportunities in terms of creativity, as well as aesthetic design and marketing choices. It will also allow us to apply a global approach to managing a fragrance brand boasting very high name recognition and without time constraints,” says Inter Parfums chairman and CEO Philippe Benacin.
“Finally, this acquisition has generated enormous enthusiasm internally and high motivation by all to reestablish Rochas’ position, even more pre-eminent in the universe of luxury. Under Inter Parfums’ scope, we could generate approximately £25 million of sales in 2016.”
The Rochas brand reached net sales of $US46 million in the 2013/14 financial year, due mainly to the success of the Eau de Rochas fragrance line. Procter & Gamble agreed to sell the brand to simplify its portfolio and focus on other brands.
