VIELEX, Ga – Stila Cosmetic will shut down its cosmetics business after a $1.9 billion merger with Singapore-based Luxottica, the cosmetics giant announced on Tuesday.
Stila said in a statement it would also sell off its luxury assets and focus on its cosmetics businesses.
Stilas cosmetics business will close in the coming weeks, and the company will no longer own, manage or operate any of its brands, the statement said.
The deal is a joint venture between Stila and Luxottic, which will be the largest cosmetics business in the world, with a global portfolio of more than 100 products.
Stila is the world’s largest luxury brand.
Stilla is the third-largest cosmetics company in the U.S., with a $9.5 billion business.
The company will continue to operate its beauty brands in the United States and the United Kingdom, as well as in its headquarters in Singapore, where it has its headquarters for almost 50 years.
The Stila Beauty brand, which is the top seller in the cosmetics industry, will continue as a separate company, and will focus on new products.
Stilea is owned by the Dutch family that founded the brand in 1958.
The Stilas family has made some big business moves recently, including buying the cosmetics business of rival Lancôme.
The merger will make Stila the biggest cosmetics company on the planet.
It is also the largest U.K.-based cosmetics company.