L’Oreal agrees to buy IT Cosmetics

NEW YORK: L’Oreal SA agreed to acquire IT Cosmetics for $1.2 billion in its largest acquisition in eight years, adding more than 300 skin care and make-up products to its lineup.

IT Cosmetics, backed by TSG Consumer Partners, will become part of the Luxe division of L’Oreal as part of the all-cash transaction, according to a statement on Friday. IT will continue to operate out of its headquarters in Jersey City, New Jersey.

L’Oreal is counting on the acquisition to help spur growth at a time when it’s facing a slowdown in parts of Asia and Latin America. IT Cosmetics increased sales 56 per cent to $182 million in the 12 months ended in June.