LG Household & Health Care has dropped plans to acquire US cosmetics firm Elizabeth Arden. “We had considered buying Elizabeth Arden but decided not to push ahead with the deal in order to seek a better alternative in raising our corporate value in the long term,” the company said in a regulatory filing.
LG H&H cited the planned restructuring of Elizabeth Arden as a reason for its loss of interest. Elizabeth Arden recently said its board had approved cost cuts that include plans to exit some unprofitable businesses and fragrance licence agreements. It said the restructuring plan, which comes after a continued deterioration in profitability, would include the discontinuation of some products, workforce reductions and the closing of its Puerto Rico affiliate.
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