Natura &Co to assess potential separation of Natura &Co Latam, Avon

Natura &Co announced that its board of directors has authorized its management to assess a possible separation of Natura &Co Latam and Avon to unlock further shareholder value. A separation would result in two independent, publicly traded beauty companies Natura and Avon with independent governance and management teams. This assessment is consistent with Natura &Co’s ongoing strategy of simplifying its corporate structure while providing increased autonomy to its business units and follows the recent divestments of Aesop and The Body Shop. Natura would continue to operate with both brands in the region, so the potential separation would not impact the integration of the brands in Latin America. In turn, Avon would indirectly benefit from the sales in Latin America through a commercial arrangement with Natura, while continuing its operations in other markets outside Latin America. The company said, “There can be no assurance that any separation will ultimately be recommended by the Board of Directors. Completion of a separation would be subject to various conditions, including final approval from the Board of Directors and consent from the majority of shareholders, among others.”