Shares in L’Occitane International soared after its billionaire chairman set out proposals to take it private.
Reinold Geiger, who is already the controlling shareholder owning more than 70 per cent of the beauty business, said he was considering an offer for the rest of the company.
Shares rose 8.8 per cent on the stock market in Hong Kong.
The company began in 1976 in a truck, selling cosmetics in the markets of Provence in France and now is known for its high-end creams and oils.
Humble beginnings: L’Occitane began in 1976 in a truck, selling cosmetics in the markets of Provence in France and now is known for its high-end creams and oils
Geiger, an Austrian businessman, bought a third of the company in 1994 and went on to build his stake and become chief executive and chairman.
It was reported the deal could value the business at around £5billion – though L’Occitane said that lofty price was ‘false and without basis’.
The business posted profits of £206million and sales of £1.84billion in the year to March 31.
Talk of going private comes amid consolidation in the luxury beauty sector, with posh soap brand Aesop sold by Brazil’s Natura & Co to beauty giant L’Oreal for £2billion earlier this summer.
