ColourPop cosmetics brand to be acquired by Amazon
ColourPop cosmetic brand to buy online retailer Amazon for $3.2 billion in cash and stock article ColourPops parent ColourPop has been acquired by online retailer, Amazon, in a deal that could create a new, vertically integrated company for the cosmetics company.
The acquisition, which will close in 2021, will bring ColourPop’s global footprint to more than 2,200 stores, with the acquisition of other retail and distribution partners in addition.
Under the deal, Amazon will continue to own all of ColourPop.
Amazon has previously said it is committed to expanding its online store business in Asia and Africa.
In a statement, Amazon said:The acquisition also includes Amazon.com and Amazon.ca.
The two companies will continue working together to build Amazon.co.uk, Amazon.de, Amazon Prime and Amazon Prime Video.
Under terms of the deal announced by Amazon, ColourPop will continue operating under the brand name “ColourPop” and will continue as a wholly-owned subsidiary of ColourPoses.
The deal will allow Amazon to leverage its own deep brand experience to help shape the new online retail ecosystem for consumers in India.
It will also allow Amazon the flexibility to focus on growth, including on the Asian region, and the ability to continue to expand and improve the ColourPop brand globally, said the statement.
ColourPops online store was launched in 2016, and it currently has more than 11 million active customers across India.
In 2018, the cosmetics brand had a turnover of $2.6 billion, according to a report by IDC.
The company’s India operations, which employ more than 20,000 people, include two distribution centres in Bengaluru and Mumbai, as well as a global website.
The cosmetics company is also the second largest cosmetic brand in the world, behind L’Oreal, with an estimated market value of $16 billion.