5.88 -0.00 (-0.01%)
After hours: 5:28PM EDT
|Bid||5.80 x 1000|
|Ask||5.89 x 1000|
|Day's range||5.68 - 5.95|
|52-week range||3.02 - 14.14|
|Beta (5Y monthly)||1.13|
|PE ratio (TTM)||N/A|
|Earnings date||05 May 2020 - 10 May 2020|
|Forward dividend & yield||0.50 (8.99%)|
|Ex-dividend date||13 Feb 2020|
|1y target est||6.83|
Coty Starts Producing Hydro-Alcoholic Hand Sanitizer to Help Combat COVID-19 Virus Products Donated to Medical and Emergency Services
(Bloomberg) -- Henkel AG, the German shampoo maker, and buyout firm KKR & Co. are among a small group of suitors proceeding to the second round of bidding for Coty Inc.’s professional hair and nail products business, people familiar with the matter said.Advent International and a separate consortium of Cinven and the Abu Dhabi Investment Authority weren’t chosen to advance to the next round after they submitted initial offers last week, the people said. Private equity firms Bain Capital and Clayton Dubilier & Rice dropped out of the race, according to the people, who asked not to be identified as the information is private.Some suitors have made bids for just the Good Hair Day business or Coty’s Brazilian operations, the people said. The entire unit, which owns brands including Wella and Clairol, could fetch $7 billion to $8 billion, Bloomberg News has reported.Shares of Coty jumped as much as 5.7% in U.S. trading Tuesday, the biggest intraday gain in more than a month, and were up 1.4% at 9:49 a.m. in New York. Henkel’s preferred shares gained as much as 3.5% in Frankfurt, the most since July. Turbulent MarketsUnilever and cosmetics maker Boticario Group have been looking at parts of the business, people familiar with the matter said last month.The sale comes at a time when stocks are being roiled by the spreading coronavirus and a slump in oil prices. The turbulence has spread to the credit markets, raising borrowing costs and making it tougher for private equity firms that depend on leverage to get deals done.Related: Hair Today for Coty If Reported Disposal Price Is Met: ReactProceeds could be used for “much-needed debt reduction and investment across skincare, cosmetics and fragrances to speed up agility and fix ebbing market shares,” according to Deborah Aitken, a senior industry analyst for Bloomberg Intelligence.Coty’s banks are offering financing to help buyout firms fund the acquisition, a person with knowledge of the matter said last month.Deal FirepowerA representative for Coty said the strategic review of its professional beauty business and Brazilian operations is “proceeding as planned.” The company expects to complete the process by summer 2020, within the contemplated timeframe, the Coty representative said.Representatives for Advent, Bain, CD&R, Cinven, Henkel and KKR declined to comment, while a spokesperson for ADIA didn’t immediately respond to a request for comment.Henkel’s new Chief Executive Officer Carsten Knobel said last week the company has the “firepower” to make acquisitions for business lines including beauty alongside asset disposals.Advent and Cinven last month won a competitive auction to acquire Thyssenkrupp AG’s elevator division for 17.2 billion euros ($19.5 billion), making it the biggest private-equity deal in Europe in a decade.(Updates with share reaction in fourth paragraph. An earlier version corrected spelling of Henkel CEO’s name)\--With assistance from Oliver Sachgau and Robert Williams.To contact the reporters on this story: Dinesh Nair in London at email@example.com;Aaron Kirchfeld in London at firstname.lastname@example.org;David Hellier in London at email@example.comTo contact the editors responsible for this story: Ben Scent at firstname.lastname@example.org, Matthew MonksFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Coty Inc. (NYSE: COTY) today announced several executive and Board appointments that are designed to help accelerate growth of the business. By summer 2020, upon conclusion of the strategic review that is underway, Pierre Denis will succeed Pierre Laubies as Chief Executive Officer of Coty and Pierre-André Térisse, Chief Financial Officer of Coty, will become Chief Operating Officer while retaining in full his CFO role and responsibilities. Additionally, the Coty Board of Directors has elected Isabelle Parize and Justine Tan non-executive directors, effective February 27, 2020.
Solid brand performances, innovations and strong consumer demand are aiding Coty's (COTY) Luxury business. However, challenges in the Consumer Beauty unit persist.
The virus, which has killed nearly 500 people and affected hundreds of thousands across the globe, has forced several retailers, including Capri Holdings and Ralph Lauren Corp , to shut stores and limit working hours. Chief Financial Officer Pierre-Andre Terisse told Reuters the company would take a hit but it would be smaller than that of its competitors. "Investors have been on edge with beauty and personal care companies because of the impact of the coronavirus, and specifically the impact it will have to sales in the greater China area and travel retail channel," CFRA Research analyst Arun Sundaram said.
Soft Consumer Beauty unit and supply chain hurdles are likely to get reflected in Coty's (COTY) performance in Q2. Nevertheless, robust Luxury segment and transformation efforts bode well.
Coty (COTY) doesn't possess the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
Helen of Troy's (HELE) Q3 earnings and sales increase year over year on strength in the Housewares and Beauty segment. However, the Health & Home segment looks troubled.
Procter & Gamble (PG) intends to buy Billie to further boost its women's care portfolio. This is likely to enhance its grooming business.