Re: Latest Mergers & Acquisitions - L’Oréal strikes deal to buy Urban Decay
I’m not aware (read not interested) of the beauty products offered by these companies, but if the product range is similar, then it is likely that the acquirer will remove competitive products from market soon.
I also observed that companies are now concentrating on the core business and divesting from products line that they think are not their cash rich products or which receive tough competition. Unilever Pakistan divested from their fat business (including Dalda cooking oil and Blueband Mamargarine) under this strategy. Dalda was getting tough competition from local players Tullo and Habib Cooking Oil. There were also rumors that Unilever will stop manufacturing activity of tea (yellow Label, Supreme) in Pakistan and import the same, considering they are getting tough competition from Tapal.