Deals
Coty Agrees to Purchase P&G Beauty Brands for $12.5 Billion
P&G Accepts Coty's Offer to Buy 43 Beauty Brands
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Coty Inc. agreed to buy 43 of Procter & Gamble Co.’s beauty brands for about $12.5 billion in a deal that would more than double its sales and transform it into one of the world’s largest cosmetics companies.
The transaction will be conducted as a Reverse Morris Trust, meaning P&G will spin or split off the business, which will then merge with a Coty subsidiary, the companies said in statements Thursday. The arrangement is meant to reduce taxes for the companies’ shareholders.