L'Occitane Bags Another Brand, Lemme Heads to Target 🎯

GM and Happy Saturday, folks. Here’s what we’re getting into today:

• L’Occitane buys fragrance brand 💰

• Amer Sports files for IPO 🏀

• Asahi buys U.S. brewer 🍺

• REI backs Renegade Running 👟

• Chamberlain Coffee x Whole Foods ☕️

L'Occitane Bags Another Brand 💰

L’Occitane Group is acquiring Dr. Vranjes Firenze, a luxury home fragrance brand that’s best known for its home diffusers and scented candles. L’Occitane will pay around $164M for the business, or roughly 13x EBITDA.

Founded in Florence in 1983, Dr. Vranjes Firenze combines Italian fragrance craftsmanship with cutting edge fragrance science. The company has been majority owned by BlueGem, a British private equity firm, since 2017 when they purchased a 70% stake.  

This is another great deal for L’Occitane Group, who’s arguably the most disciplined acquirer in the beauty space. 

In late 2021, L’Occitane purchased a majority stake in Sol de Janeiro which has become a veritable rocket ship since the takeover. In H1 of 2022, Sol de Janeiro posted net sales of $98.1M, and in H1 of 2023, they posted net sales of $270M. This is staggering growth for a cosmetics brand, and L’Occitane only paid $450M for their 83% stake. 

Then, in 2022, L’Occitane purchased 49% of Australian skincare brand Grown Alchemist for €5M. We wrote about the Grown Alchemist deal in September:

More on the Dr. Vranjes Firenze acquisition from WWD here.

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Deals 💰

Mergers & Acquisitions 

• Amer Sports — the owner of sporting goods brands like Arc’teryx, Salomon, Wilson, Peak Performance, and others — officially filed to go public on The New York Stock Exchange. The company is owned by Chinese footwear juggernaut Anta Sports and expects to be valued around $10B. Bloomberg

• Japanese beverage firm Asahi has acquired Wisconsin-based contract brewer Octopi Brewing for an undisclosed sum. In 2022, Octopi produced 220,000 barrels for its contract partners, and last year that figure jumped to 508,000 barrels. Asahi now plans to manufacture their own brands at the facility. Brewbound

Fundraising

• Renegade Running, an Oakland-based running retailer, secured funding from REI Path Ahead Ventures, the venture arm of outdoor retailer REI. The goal of REI’s $30M venture fund is to back BIPOC founders and startups operating in the outdoor industry. Renegade Running was founded by Victor Diaz in 2020. WWD

• Private equity firm Palladium Equity Partners raised a $450M continuation fund in order to support portfolio companies like Jordan’s Skinny Mixes and Del Real Foods. Buyouts Insider

• KT Winery, the Denver-based wine startup behind Mom Juice, is raising a $2M seed round. The company was founded by Kristin Taylor and Macie Mincey in 2020. Mom Juice currently has over 500 retail partners. Just Drinks

What’s New 🤩

Apparel, Cosmetics, and Wellness

• The 29-year-old Frederic Arnault has been promoted to CEO of LVMH Watches and will oversee brands like TAG Heuer, Hublot, and Zenith. The scion has been the CEO of TAG Heuer since 2020. Reuters 

• Fast-growing skincare brand Bubble has launched two new serums — Moon Walk and Water Slide. Both products are available exclusively at Ulta Beauty. Instagram

• Kreation Organic, a Los Angeles-based producer of cold-pressed juices and functional beverages, has partnered with Graza on a wellness shot called Feel Even Better. Instagram

Food, Beverage, and Alcohol

• Ryl Tea launched a new line of Immune Boosting Iced Teas. The product features 500mg of vitamin C along with vitamin D and zinc. Two flavors are available: Juicy Orange and Pink Lemonade. Instagram

• Taco Bell and Kraft Heinz have joined forces to launch a new line of at-home meal kits. Dubbed Craving Kits, the new line enables consumer to make Crunchwrap Supremes from the comfort of their own homes. FoodBev

• GHOST, the fast-growing energy drink and sports nutrition brand, will launch their new hydration line later this month. We know of four flavors thus far: Kiwi Strawberry, Orange Squeeze, Lemon Lime, and Sour Patch Kids Redberry. The branding is terrific. Twitter

• Health-Ade, the popular kombucha brand that’s now majority owned by First Bev, is launching a prebiotic soda to compete with the likes of OLIPOP, Poppi, Culture Pop, and others. SunSip launches on February 5th. Details are scarce but you can get a decent look at the branding via their IG. Instagram

• Some fantastic packaging design by Drake Cereal for Portland-based Sunday Coffee Project. Love at first sight. The Dieline

• Sanpellegrino, the Italian sparkling water brand owned by Nestle, introduced a new Zero Added Sugar line. PR Newswire

Data 🖥️

• Since launching at Walmart in May of last year, instant smoothie brand Kencko has sold more than one million units. Instagram

• Constellation Brands, the beer, wine, and spirts giant, reported mixed results for Q3. While its beer portfolio performed well — net sales were up 4% — net sales for its premium wine and spirits division dipped 7%. Reuters 

Distribution News 🚚

• Lemme, the supplement brand founded by Kourtney Kardashian Barker, is now available in-store at Target.

• Chamberlain Coffee launched their RTD lattes nationwide at Whole Foods Market.

• Whipnotic is now available at 300+ Kroger stores.

• Bear’s Fruit launched their prebiotic sparkling water line nationwide at Sprouts Farmers Market.

• Dr. Bombay, the ice cream brand co-founded by Snoop Dogg and Happi Co., is now available nationwide at Albertsons.