Prime Highlight
- Mao Geping Cosmetics teams up with L Catterton to grow its presence in premium international markets.
- The partnership will also focus on talent acquisition, corporate governance, and establishing a luxury beauty investment fund.
Key Facts
- Six core shareholders plan to sell up to 17.2 million shares, equal to 3.51% of the company’s total shares.
- Mao Geping Cosmetics shares rose as much as 5.1% to HKD92.50 before closing at HKD86.65.
Background
Chinese beauty firm Mao Geping Cosmetics has entered into a strategic partnership with US consumer goods investment company L Catterton to expand its presence in high-end international markets.
The company said the agreement is not a funding deal but a long-term cooperation. Under the arrangement, L Catterton will use its global investment network and industry partners to support Mao Geping’s brands in premium overseas markets. The two sides also plan to jointly establish an equity investment fund that will focus on the international luxury beauty sector.
In addition to market expansion, the partners will work together on improving capital structure, attracting global talent, and strengthening corporate governance.
Hangzhou-based Mao Geping Cosmetics was founded in 2000 by celebrity makeup artist Mao Geping. The firm already has close links with L Catterton, which earlier invested in InterCos, Mao Geping’s largest supply chain partner.
L Catterton manages around $39 billion across private equity, credit, and real estate platforms. Its portfolio includes several global beauty names such as Elemis, Kiko Milano, Stenders, Stripes Beauty, and Ci Flavors, giving it strong reach across skincare, fragrances, and personal care.
A day before the partnership announcement, Mao Geping Cosmetics disclosed that six core shareholders and executive directors, including founder Mao Geping, plan to sell up to 17.2 million shares over the next six months. This equals no more than 3.51 percent of the company’s total shares.
The company said the planned sale is due to personal financial needs. The money will go toward beauty industry investments and personal expenses. At the current share price of about HKD86, the executives could raise roughly HKD1.4 billion.
Shares of Mao Geping Cosmetics rose as much as 5.1% to HKD92.50 after the news, before closing 1.4% lower at HKD86.65.
