L’Occitane head in talks for buyout

The news: The controlling shareholder of L’Occitane International SA is in talks to buy out the French luxury skincare maker and take it private, Bloomberg reports.

The numbers: Billionaire chairman Reinold Geiger has discussed a possible offer of HK$35 for each L’Occitane share he doesn’t already own, a roughly 37% premium to the company’s closing price on Tuesday.

The context: The cosmetics giant’s Hong Kong-listed shares were placed in a trading halt on Wednesday fuelling speculation of a takeover bid ahead of a delisting. L’Occitane recently acquired Australian skincare brand Grown Alchemist and also owns skincare brands in Brazil, South Korea and France. Geiger, who already owns 70% of the company, is believed to be considering relisting the business in Paris or another European market as early as next year.