Perfume maker Coty seeks acquisitions to expand cosmetics business - CEO

Date : 07/17/2008 @ 3:03AM
Source : TFN
Stock : Procter & Gamble Co (PG)
Quote : 59.56  -1.32 (-2.17%) @ 8:00PM
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Perfume maker Coty seeks acquisitions to expand cosmetics business - CEO

        FRANKFURT (Thomson Financial) - Perfume maker Coty, which makes Calvin Klein
and Davidoff scents, is seeking acquisition to expand its cosmetics business,
chief executive Bernd Beetz told Financial Times Deutschland in an interview.
    "Acquisitions are very important for our growth plans," Beetz said.
    The New York-based family-owned company aims to boost annual sales to $5
billion by 2010 from $3.3 billion in 2007.
    To help reach that goal, the company in 2005 bought consumer goods giant
Unilever's fragrance arm for a minimum cash sum of $800 million.
    Some 82 percent of Coty's sales last year were generated in the perfume
division, while make-up accounted for 15 percent and skin care products
generated the remaining 3 percent of revenue.
    Coty, which also makes Lancaster cosmetics and Rimmel make-up, is seen as
one of several parties interested in buying French cosmetics company Clarins,
along with L'Oreal, Estee Lauder and Procter & Gamble, FT Deutschland said.
    Clarins has since decided to delist the company from the stock exchange on
increasing pressure from market rumours that the company may be acquired.
maria.sheahan@thomsonreuters.com
mas/jlc

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