Grupo Boticário, parent company of Boticário, the largest cosmetic franchise worldwide, could be in talks to buy the operation of the American multinational beauty firm Coty in Brazil, seeking to diversify its operations in the hair care category and to start selling products in supermarkets, said Artur Grynbaum, CEO of Grupo Boticário, to the media outlet Valor Econômico.

Focused on cosmetics, skin, fragrance & hair brands, Coty is the eighth largest manufacturer of personal care products in the country. If the operation is confirmed, Coty’s assets would remain within the Multi B business unit, responsible for distributing products to multi-brand chains such as pharmacies and perfumeries.

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To Valor, Grupo Boticários’s CEO declared that Coty has not yet made available information on the operation in Brazil, but proposals will be received by Credit Suisse by March. Coty went on sale in October 2019, along with products for professional use in salons and hair care.

As for the funding for the new operation, Grynbaum told the newspaper that the company would address its own capital for the operation, as well as raise investment from the market. “We would have no trouble in raising funds from banks. We have a good risk rating,” the company CEO added to Valor.