Seoul-based LG Household & Health Care Ltd. has agreed to buy New Avon LLC, also known as Avon North America, the cosmetics business that spun off from Avon Products Inc. in 2016, for $125 million.
LG Household is a maker of consumer goods and beauty products. It will acquire New Avon from private-equity firm Cerberus Capital Management L.P. and former parent Avon Products, which held a minority stake. The acquisition is expected to be completed on Sept. 30.
Avon Products earlier this year sold its manufacturing operation in Guangzhou, China, to LG Household, which spurred a manufacturing and supply agreement. The New Avon deal will not have an impact on this business transaction.