Blackstone Close to Taking L’Occitane Private After 14-Year Run on Hong Kong Stock Exchange: Report

Blackstone Inc. (NYSE:BX) and L’Occitane’s proprietor Reinold Geiger are reportedly near privatizing the skin-care firm.

If the deal takes place, it’ll doubtlessly terminate L’Occitane’s 14-year run on Hong Kong’s inventory change, Bloomberg reported, citing folks accustomed to the matter.

As of December 31, 2023, Blackstone had $8.4 billion in complete money, money equivalents, company treasury, and different investments and $16.9 billion of money and internet investments.

The main different asset supervisor is contemplating providing debt financing for the acquisition, the report learn.

An announcement might arrive inside days. Buying and selling of L’Occitane was halted in Hong Kong on Tuesday, awaiting a takeover code-related announcement.

Although discussions are superior, setbacks are doable.

Blackstone declined to remark to Bloomberg, and L’Occitane hasn’t responded but, the report added.

Blackstone’s curiosity in L’Occitane was reported by Bloomberg in February.

The corporate’s market worth stands at roughly HK$43.6 billion ($5.6 billion). L’Occitane Chairman Geiger’s entity holds over 70% of the agency.

L’Occitane confronts a troublesome market in China with fierce competitors from world giants like L’Oreal Co. (OTC:LRLCF) and Estee Lauder Firms, Inc (NYSE:EL) providing frequent reductions, coupled with the rise of nationalist sentiments favoring home manufacturers, Bloomberg added.

Based on Benzinga Professional, BX inventory has gained over 58% previously yr. Traders can acquire publicity to the inventory through EA Collection Belief WHITEWOLF Publicly Listed Non-public Fairness ETF (BATS:LBO) and Gabelli ETFs Belief Gabelli Monetary Providers Alternatives ETF(NYSE:GABF).

Value Motion: BX shares are buying and selling increased by 0.37% to $129.80 premarket on the final examine Tuesday.

Disclaimer: This content material was partially produced with the assistance of AI instruments and was reviewed and revealed by Benzinga editors.