Estée Lauder Acquires Smashbox to Attract Younger Demographic

May 18, 2010 | Contact Author | By: Katie Schaefer
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Title: Estée Lauder Acquires Smashbox to Attract Younger Demographic
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The Estée Lauder Companies Inc. has signed a definitive agreement to acquire Smashbox Beauty Cosmetics Inc., a prestige color cosmetics company based in Los Angeles, Calif., USA.

With the Smashbox acquisition, Estée Lauder reportedly will grow its prestige offering and reach new and younger consumers. In addition, Estée Lauder Companies is planning to utilize its international experience to grow the Smashbox brand.

Smashbox Beauty Cosmetics was founded in 1996 by brothers Dean and Davis Factor, great-grandsons of Max Factor, who were inspired by photo studio celebrities to create a unique makeup brand that met the highly demanding needs of a professional photo shoot. Since that time, Smashbox has established itself as a successful prestige cosmetics brand and a top performer in specialty channels. Currently, the majority of Smashbox’s sales are based in North America.

Smashbox recently launched its Summer 2010 collection, Naked Beauty, which includes Naked Beauty Photo Finish Lid Primer, a nude eyelid primer said to moisturize while lessening the appearance of fine lines and discoloration. The product is formulated with a plant-based hyaluronic acid for moisturization in addition to amino acids.

Ingredients: Naked Beauty Photo Finish Lid Primer: Isododecane, Hydrogenated Coco-Glycerides, Beeswax, Silica, Quaternium-90 Bentonite, Boron Nitride, Microcrystalline Wax, Propylene Carbonate, Water (aqua), Tremella Fuciformis Sporocarp Extract, PEG-12 Glyceryl Dimyristate, Betaine, Glycerin, Potassium Sorbate, Phenoxyethanol. May Contain (+/-): Titanium Dioxide, Iron Oxides, Mica.

The Estée Lauder Companies will collaborate with the Smashbox organization to develop a comprehensive integration plan to transition Smashbox into The Estee Lauder Companies’ family after closing. The acquisition is expected to close in July 2010, subject to certain conditions, including regulatory approval. Terms of the deal were not disclosed. Smashbox will continue operating out of its Los Angeles office. No details have yet been given regarding the Smashbox R&D and product development personnel.