Urban Decay being bought by L'oreal?!!

[Yazzer]

http://www.latimes.com/business/money/l ... 6032.story



Is it just me or is anyone else going to stop buying if this actually happens

[BrunetteBarbie]

I swear L'oreal owns almost everything now

[Yazzer]

http://www.latimes.com/business/money/l ... 6032.story

L'Oreal is buying edgy makeup brand Urban Decay as the cosmetics giant seeks to reach more younger customers.

The French company agreed to buy the Newport Beach firm for an undisclosed amount from private equity firm Castanea Partners.

Castanea, which bought Urban Decay in 2009, said the makeup firm has since more than tripled its revenue and raked in $140 million in sales in the past year.

"Urban Decay will beautifully complement L'Oreal's luxe portfolio of iconic brands," Nicolas Hieronimus, president of L'Oreal Luxe, said in a statement. He described Urban Decay as "the makeup specialist we need to fully satisfy young women in search of playful colors ... at an accessible price point."

Founded in 1996, Urban Decay is known for its bright color palettes and outspoken refusal to test products on animals. It's part of a specialty cosmetics market that accounts for about 44% of the luxury beauty market in the U.S., L'Oreal said.

Pablo Zuanic, an analyst at Liberum Capital, estimates that L'Oreal is paying $250 million to $300 million for the Southern California company.

"Urban Decay is exactly the type of brand L'Oreal needs to beef up its makeup portfolio," he wrote in a note to clients.

The deal awaits regulatory approval, which is expected before the end of December.

For those of you who cants get on the website.



if you look at their facebook page they have already losts LOADS of fans, oh god i better not mention the other type of phan, she must be loving that fact that it might all be the same company

[Fragranceobsessed]

L'oreal tests on animals but Urban Decay doesn't. I wonder if they'll keep the cruelty-free status.

[Emerald]

This may seem like a stupid question, but how are they losing fans? Sure the comments are saying that they're not going to buy Urban Decay anymore, but there's still a lot of likes (777,113) on their Facebook page. I wonder what Cora (vintageortacky) has to say about this.

[Yazzer]

they had more fans than that yesterday

[Emerald]

they had more fans than that yesterday

Oh okay. Thanks.

[Diorette]

is UD stupid or what, they're gonna lose a lot of fans with that.

[caomei]

I actually don't think this will affect much. L'oreal will expand Urban Decay into other markets, and they will more than make up for anyone who decides to stop purchasing UD products.

Personally, I'm going to continue to buy Urban Decay so long as their formula doesn't change. I love Lancome and I see no reason why I won't love a UD owned by the same company.

The previous owners of UD are now irrelevant. They sold it, so it doesn't matter to them how the brand does. UD has passed hands more than once, anyway.

I'm really only concerned another a monopoly in the market down the road but that's another topic.

[artlovemoney]

Diorette
is UD stupid or what, they're gonna lose a lot of fans with that.

no, not necessarily.

1- not everybody is a conscience consumer- and by that, I'm mean the bulk of consumers.
2- this does not mean that l'oreal is going to pull an estee lauder and force Urban Decay to change formulas and practices. In fact, they probably won't since Estee Lauder is L'oreal's only rival as far as cosmetic mega companies go.
3- plenty of people here use l'oreal brand products, and I don't see them complain one iota about them- so protesting this is just silly.

Company Reference List:

Professional products

L'Oréal Professionnel, including ARTec and Innate
Kérastase (created by L'Oreal in 1964)
Kéraskin Esthetics, created by L'Oreal in 2007 and specializing in skin care professionals.
Redken 5th Avenue NYC, founded by Paula Kent and Jheri Redding in 1960 and acquired by L'Oreal in 1993.
Matrix Essentials, founded by Arnie Miller in 1980 and acquired by L'Oreal in 2000.
Mizani, founded in 1991 and bought by L'Oreal in 2001.
PureOlogy Research, founded in 2001 and acquired by L'Oreal in 2007.
Shu Uemura Art of Hair

L'Oreal Luxe

Lancôme
Yves Saint Laurent
Giorgio Armani
Biotherm
Cacharel
Diesel
Maison Martin Margiela
Viktor & Rolf
Ralph Lauren
Kiehl's
Shu Uemura
Stella McCartney
Clarisonic
Paloma Picasso
Drakkar noir

Consumer products

L’Oréal Paris
Ombrelle
Garnier
Maybelline
SoftSheen-Carson
Le Club des Créateurs de Beauté
Essie

Active cosmetics

Vichy
La Roche Posay
Inneov
Skinceuticals
Roger&Gallet
Sanoflore

And they own Dermablend as well.

[Fragranceobsessed]

I agree that in the end people will continue buying them but I'll believe the lack of formula and practice changes when I see it. Things always change for better or for worse when a company changes hands.

ETA: Not saying I hate L'oreal or I'm complaining. Just that I do expect some change.

[barelythick]

Why do people think that it will be any different? Urban Decay is still run by Urban Decay, the owner of the business has just changed. It's not like Urban Decay will be in drugstores. YSL is a L'oreal brand. L'oreal may not make great drugstore makeup, but Urban Decay will never have anything to do with L'oreal seen in the store. L'oreal is just the name of a conglomerate.

[Fluff]

Why do people think that it will be any different? Urban Decay is still run by Urban Decay, the owner of the business has just changed. It's not like Urban Decay will be in drugstores. YSL is a L'oreal brand. L'oreal may not make great drugstore makeup, but Urban Decay will never have anything to do with L'oreal seen in the store. L'oreal is just the name of a conglomerate.

I don't think it's an issue about drug store brands, but ethics of companies.

[lemons]

if urban decay is known for being outspoken about being against animal testing, i doubt loreal will force them into testing on animals

[whoa]

Weird how this came out a few days before the release of their new Naked Matte Basics palette....

I will still buy UD because I find their products nice.

[shadowlurker]

if urban decay is known for being outspoken about being against animal testing, i doubt loreal will force them into testing on animals

it doesn't matter because a lot of people who buy UD for it's CF values (including me personally) don't want to support l'oreal since all the $$$ will still wander into their pocket.

[Sonia]

Gross. Even more than the animal testing issue (I admit I'm not as stringent about this as others), it bothers me that UD itself goes out of its way to boast about its ~ethics~ and ~values~ and then sells out to the largest cosmetics company in the world.

[peachesnoranges]

How are they losing fans?

[misanthrope.]

So glad I didn't buy the naked palette for 50 bucks. Now it'll be drugstore price! Holla!

[Forever5stars]

I most certainly won't buy any UD now. Regardless of if they don't test on animals, I'm just very anti-L'oreal