Revlon Acquires Elizabeth Arden

Elizabeth Arden is acquired by RevlonToday, Revlon announced that it has signed a definitive agreement to acquire all of the outstanding shares of Elizabeth Arden in an all-cash transaction for $14 per share, which is approxi­mately $870 million. This merger will bring together the 84-year-old Revlon with the 106-year-old Elizabeth Arden businesses. The combined distribution networks and marketing strategies can boost its portfolio while achieving additional growth opportunities in both sales channels and geographies. “This acquisition is strategically and financially compelling," says Fabian Garcia, CEO and president of Revlon. "Elizabeth Arden and Revlon are both known for their iconic brands, entrepre­neurial spirit, and commitment to innovation, quality, and excellence. Revlon plans to build upon Elizabeth Arden’s ongoing transfor­mation by further enhancing the brand, with even more vibrant and relevant product development and marketing, while carefully preserving its unique heritage within prestige. Combining our brands, talent, and global distribution will give our company a significant presence in all major channels and categories, while accelerating sales growth in existing and new geographic regions. We look forward to bringing together our two top-notch teams to form a global leader in beauty.”

By bringing together these two cosmetic companies with iconic brand portfolios, Revlon will benefit on a greater scale with an expanded global footprint and a significant presence across all major beauty channels and categories, including the addition of Elizabeth Arden’s growing skincare, color cosmetics, and fragrance lines. The merger will also leverage Revlon’s scale across major vendors and manufacturing partners and improve distribution. Cost synergies of approximately $140 million are also expected to be achieved from this transaction through the elimination of duplicative activities, leveraging purchasing scale, and optimizing the manufacturing and distribution networks of the combined company. “We believe this is a compelling transaction that delivers certain value to our shareholders, while recognizing the unique equity in the Elizabeth Arden brand, our impressive fragrance portfolio, and global footprint, as well as the positive momentum and growth potential for our business," says E. Scott Beattie, CEO, president, and chairman of Elizabeth Arden. "We look forward to working with the Revlon leadership team to create a leading global beauty company able to provide accelerated growth for the Elizabeth Arden-branded products, as well as our prestige licensed fragrance portfolio and broader opportunities for many of our employees.”

Suggested Articles

Unrealistic expectations of self-image driven by social media lead to disappointed clients.

Created by Julie Pankey, founder of Spa Hive, in memory of Danielle Knerr, the award honors leaders who exemplify four critical traits.

Most people know that blue light affects sleep, but what impact does it have on the skin?