French cosmetic and beauty major L’Oreal has acquired salon brand Cheryl’s Cosmeceuticals for an undisclosed amount. This is L’Oreal’s first acquisition in the Indian market. Cheryl's Cosmeceuticals. Cheryl was founded by Oscar and Cheryl Pereira in 1986, and it is known for its skincare products and treatments across the country.
AS per Jean-Christophe Letellier, Managing Director, L'Oreal India, the acquisition, which is the first in the country will help them enter a new segment that will complement its booming salon hair-care business and also tap semi-urban and rural markets with lower priced products. He says, "Over 95 percent of the salon offer facial or skin care treatment where we have no offerings except the top-end market. Even within our global portfolio, the company doesn't have any professional salon skincare range like Cheryl's”.
The buy will also help L'Oreal compete with lower-priced hair and skincare products in small towns. Cheryl's products cost anywhere between Rs 500 and Rs 2,000 while L'Oreal products generally costs at least 50 percent higher.