Puig has taken a majority stake in Loto del Sur, Colombia's leading natural cosmetics brand.
WHO: Loto del Sur, a nature-inspired brand with authentic Latin American cultural roots, was founded in Bogotá, Colombia, in 1999 by Johana Sanint. The product portfolio currently covers bath and body, face care, fragrance, and home. The brand is made with a curated selection of locally sourced botanical ingredients that pay tribute to the region's vast biodiversity. The brand is distributed in a rapidly expanding retail network, including 21 stores in Colombia.
Founded in Barcelona in 1914, Puig has been led by three generations of family leadership operating in fashion and in three prestige beauty categories (fragrances, makeup, and dermocosmetics). The brand portfolio is structured in three divisions: Beauty and Fashion, with the owned brands Carolina Herrera, Paco Rabanne, Jean Paul Gaultier, Dries Van Noten, Nina Ricci, Byredo, Penhaligon's, L'Artisan Parfumeur, Kama Ayurveda, and Loto del Sur; the licenses of Christian Louboutin and Comme des Garçons Parfums and Lifestyle fragrances, among them Antonio Banderas, Adolfo Dominguez, and Benetton; the Charlotte Tilbury division, which includes the luxury makeup brand; and the Derma division, with Uriage, Apivita, and the joint venture in Isdin.
With a presence in 150 countries, Puig closed 2021 with a 27% increase in turnover over 2019 to €2.59 billion. For the current financial year, the company expects to achieve sales of €3 billion and EBITDA of €500 million.
WHY: The deal reinforces Puig's commitment to building a unique portfolio of brands. The deal will contribute to achieving the Spanish company's recently announced goals of doubling its 2020 turnover by 2023 and tripling it by 2025.
IN THEIR OWN WORDS: "The company was born in order to develop a beauty brand in Latin America that would be able to compete with big European companies that have always dominated the market," said Johana Sanint, founder and CEO of family-run company Loto del Sur.
"Unlike an investment fund, Puig is interested in long-term brand building. The most valuable thing is knowing that this project will transcend myself and there will be teams to carry on the brand in the future," added Sanint, who for the time being plans to remain at the helm of her company's activities.
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