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Unilever has been No. 1 on The International Top 30 ranking, since we published our first list in 1991. Through all of them, L’Oréal has been second, but the world’s biggest pure play cosmetics company is closing fast, thanks in large measure to a string of acquisitions in recent years.
In fact, M&A is a big part of our International Top 30 article this year. A year ago, L’Oréal expanded in Korea with its acquisition of Nanda and Kao picked up ground in North America when it purchased Washing Systems LLC. Most recently, Beiersdorf purchased Coppertone. In between, Unilever picked up two P&G oral care brands and Natura made a big bet on international markets when it acquired Avon. In fact, sources say 2018 was a record year for M&A in the beauty space alone. Technology has leveled the playing field, enabling startups to compete with multibillion dollar companies on nearly equal footing in some categories, such as color cosmetics.
Multinationals are scrambling as startups and technology reconfigure distribution channels. At the same time, private equity houses have had good success in the personal care space. Consumers want all new all the time and fast-moving indie companies can give women exactly what they want.
No surprise then that most observers expect M&A activity to continue through 2019 and beyond as multinationals seek a fresh crop of indie innovators to flesh out their portfolios. As we went to press, L’Oréal confirmed it has entered in exclusive negotiation with the Clarins Group in view to acquire Mugler and Azzaro.
As noted, Unilever and L’Oréal are Nos. 1 and 2 on our 2019 edition of The International Top 30. Rounding out the Top 10 are: Henkel, Kao, Shiseido, Reckitt Benckiser, Beiersdorf, LVMH, AmorePacific and LG.
We hope you enjoy this edition of The International Top 30; be sure to compare it to The Top 50, our annual look at the biggest US manufacturers of household and personal products. You’ll find both of these popular features side by side on our website, Happi.com
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