Amid rumors of an IPO, Italian cosmetic manufacturer Intercos Group has signed a 350 million euro financing agreement with a pool of banks.

WHO: Founded in 1972 by Dario Ferrari and based outside Milan in Agrate Brianza, Intercos manufactures and supplies lipsticks, eye shadows, mascaras, foundations, powders, pencils, nail polishes, and skincare products to around 450 customers globally. It employs 5,850 people worldwide, distributed through 15 commercial offices and 11 research centers in 15 countries.

WHY: The loan will serve to cover a bond of 120 million euros issued in 2015 and other corporate purposes.

DETAILS:

• Intercos Group has signed a 350 million euro financing agreement with a pool of banks including Banca IMI, Banca Nazionale del Lavoro, BNP Paribas, Crédit Agricole Corporate and Investment Bank, Crédit Agricole Italia, Intesa Sanpaolo, and Unicredit.
• In the third quarter of 2019, Intercos Group registered revenues of 520.46 million euros, up 2.3% compared to 508.82 million euros posted in the same period in 2018. In the first nine months of 2019 makeup accounted for 65% of sales, hair and body products for 21%, and skincare for the remaining 14%.
• The company has contemplated an IPO since 2006 but no official procedure has been initiated. In the latest financial results, the company stated it is “evaluating certain potential strategies to support the growth of the company including, in due course, also a possible IPO of the company’s shares on a regulated market.”
• L Catterton-owned CP7 Beauty Luxco Sàrl holding company and Ontario Teachers’ Pension Plan retain shares in the company, accounting for 33.75% and 20.59%, respectively.
• Last year, the Italian beauty giant was particularly active on the mergers and acquisitions front. In June, it sold back to the firm its minority stake of 20% in the Korean company Hana Co. Ltd., bought in 2015.
• The group acquired 69% of American company Mubic Ltd., which recently purchased 7.69% of the MyBeautyBrand start-up for 500,000 pounds.
• Last fall Intercos invested 1.5 million euros to secure 8.8%of Arterra Bioscience SpA, an Italian research-based biotech company listed on the Milan Stock Exchange.
• In 2017 Intercos bought skin-, hair, and body-care manufacturer Cosmint Group, owned by the Masu family.