L Catterton acquires majority stake in Italian cosmetics brand Kiko Milano

LVMH-backed investment firm L Catterton announced today that it has reached a final agreement to acquire a majority stake in Italian beauty brand Kiko Milano. Terms of the deal were not disclosed.

Antonio Percassi, co-founder of the brand said: "L Catterton will leverage its extensive expertise in cosmetics and its global network of business opportunities and talent to accelerate Kiko's global expansion."

L Catterton added in a statement that the Percassi family will retain a significant stake in the company and Antonio Percassi will retain his position as president of Kiko Milano. Italian newspaper Il Sole 24 Ore cited people familiar with the matter as saying Kiko Milano was worth about 1.4 billion euros.

Founded in Bergamo in 1997 by Antonio Percassi and his brother Stefano, Kiko Milano has won over a fairly young audience with its affordable makeup products. Kiko Milano operates an extensive retail network of more than 1,100 stores in 66 countries as well as an e-commerce platform. In 2023, Kiko's net revenue was approximately 800 million euros, a year-on-year increase of nearly 20%.

Arabella Caporello, partner at L Catterton European Funds, said: "Kiko's unparalleled scale, first-to-market advantage and ability to deliver unparalleled products at affordable prices have made the company a global success. "

L Catterton is the result of the 2016 merger of the Catterton Partners investment fund with the Bernard Arnault family office and LVMH. The firm has made more than 275 investments in some of the world's most iconic consumer brands, including Germany's Birkenstock, India's Sugar Cosmetics and Swedish hair care brand Maria Nila.