Scent-sational Move: L'Oreal Reportedly Considers Dive into Omani Luxury with Amouage Stake
Portfolio Pulse from Shivani Kumaresan
L'Oreal SA is reportedly considering acquiring a minority stake in the Omani luxury fragrance brand Amouage, which is valued at over €3 billion. Amouage, known for its high-end perfumes, reported retail sales exceeding $210 million in 2023. L'Oreal's shares closed lower by 2.28% at $90.94.
April 04, 2024 | 10:30 am
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L'Oreal SA is in talks to acquire a minority stake in Amouage, a luxury fragrance brand from Oman, with Amouage seeking a valuation exceeding €3 billion. L'Oreal's stock dipped 2.28% recently.
The potential acquisition of a stake in Amouage could be seen as a positive strategic move for L'Oreal, expanding its luxury portfolio. However, the recent dip in L'Oreal's stock price suggests market reactions to acquisitions can be mixed in the short term. The long-term benefits of expanding into luxury fragrances, especially with a brand as prestigious as Amouage, could outweigh initial market hesitations.
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