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L'Oreal acquires Australian brand Aesop for $2.5 billion

The deal will be closed in the third quarter of 2023.
French company L'Oreal agreed to buy Australian brand Aesop for $2.5 billion. The deal will be closed in the third quarter of 2023. For the cosmetics giant, this is the largest acquisition in history. It traditionally buys smaller brands for further development in global markets.


Aesop is a luxury cosmetics manufacturer owned by the Brazilian company Natura. The brand of skin, hair and body care products is known for its use of plant-based ingredients and sustainable vegan formulas.

The company was founded in Melbourne in 1987 and operated a chain of 400 stores in 27 countries in North and South America, Europe, Australia, New Zealand and Asia. Aesop has estimated revenues of $537 million.

Natura, which owns The Body Shop and Avon, has faced financial problems recently. The company expects to restructure its business through the sale of Aesop.

L'Oreal, by buying the new brand, will strengthen its position in the Chinese market, which the brand entered in 2021 with the opening of the first mono-brand stores.
"Aesop is the epitome of avant-garde beauty, whose products are not only made with the utmost care and exceptional attention to detail; they are a perfect combination of urbanity, hedonism and undeniable luxury," commented L'Oreal.

Natura acquired 65% of Aesop in 2012, which amounted to only $48 million. For ten years, the sales of Aesop have grown steadily and exceeded half a billion dollars.

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