LVMH and L’Oréal among the suitors to participate in Aesop

LVMH and L’Oréal SA are among luxury consumer companies weighing bids for a stake in Aesop that could value the high-end cosmetics brand at $2 billion or more, people familiar with the matter said.

Japanese beauty group Shiseido Co. is also looking into a possible offer of interest in Aesop, said the people, who asked not to be named due to confidential information.

Aesop is owned by Brazilian cosmetics maker Natura & Co., which is working with Bank of America Corp. and Morgan Stanley as it explores selling a stake in the business, Bloomberg News reported last year.

Deliberations are ongoing and there is no certainty that they will result in offers for a stake in Aesop, according to the people. Representatives for Natura, LVMH, L’Oréal and Shiseido declined to comment.

Sao Paulo-based Natura said in October it was evaluating options to create value at Aesop, including a possible initial public offering or spin-off. Difficult markets for new listings in 2022 saw the company lean toward a stake sale. The move is part of a broader reform orchestrated by Fabio Barbosa, who took over as chief executive last year.

By Ruth David, Angelina Rascouet and Vinícius Andrade

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