HONG KONG: Trading in French beauty brand L’Occitane was halted in Hong Kong yesterday after reports emerged that its controlling shareholder may take the company private.
The luxury retailer, known for its skincare products and fragrances, raised more than US$700mil in its Hong Kong initial public offering in 2010, buoyed by optimism over the booming Chinese consumer market.
Bloomberg News reported in July that chairman Reinold Geiger was studying options for taking the brand private, using a holding company that owned more than 70% of its shares.
L’Occitane International SA announced yesterday that its Hong Kong-listed stocks will be suspended “pending the publication of an announcement pursuant to the Code on Takeovers and Mergers”, according to an exchange filing.
The firm, headquartered in Luxembourg and Geneva, said last month it was considering a possible take-private deal with an offer price of no less than HK$26 (US$3.30) per share, but had “not received any firm offer” at the time.
It closed at HK$27.80 on Thursday, with the market closed last Friday owing to a typhoon. — AFP
