Coty is said to be looking to divestitures of between $500 million and $1 billion in assets as part of a company turnaround plan, according to a report by WWD.com.
According to a source, there is no definite information on what brands or assets will face the cut, with a spokesperson for the company declining to comment.
It is reported that selling assets would help Coty’s deleverage, which is said to be a main point of the company’s turnaround strategy.
The development follows a statement by Coty Chief Executive Officer Pierre Laubies and Chief Financial Officer Pierre-André Terisse in July, which said that the company would focus on deleveraging and profitability, with investment focusing on 20 core brands, such as Rimmel, Hugo Boss, Max Factor and Gucci.
As part of Coty’s long term turnaround plan the company aims to build out product innovation, revamp marketing, streamline decision making and rationalize SKUs.