HONG KONG Jan 15 Global supply chain manager Li
& Fung Ltd said on Tuesday it had acquired Lornamead
Acquisitions Ltd for about $190 million, as it strengthens its
business globally in health, beauty and cosmetics.
Lornamead owns a portfolio of personal care brands in the
U.S., Germany and the U.K., including Finesse, Aqua Net and
"As we see increasing opportunities in the beauty business
across Asia, this transaction will add a strong growth driver
for LF Asia in the beauty and cosmetics arena," CEO Bruce
Rockowitz said in a statement.
Lornamead, which has operating platforms in the U.S.,
Germany and the U.K., sells more than 20 brands in over 60
countries to retailers, including CVS and Walgreens in the U.S.,
Rossmann and DM in Germany, and Boots, Tesco and Sainsbury's in
Shares of Li & Fung Ltd remained under pressure on
Tuesday after Moody's changed its rating outlook to negative,
and Standard & Poor's Ratings Services put the company's "A-"
Rating On CreditWatch Negative, sending the stock
to its lowest since August 2011. It ended down 0.5 percent at
The moves came after Li & Fung flagged a 40 percent fall in
core operating profit on Friday, surprising investors, just two
months after an analyst briefing.