The mainland acquisition is the French cosmetics giant's second in a month
French cosmetics giant L'Oreal has bought mainland rival Yue-Sai, a brand created by American entrepreneur Kan Yue-sai with the slogan 'specially for the Chinese woman'.
It is the French company's second major mainland acquisition in a month, beating out a competing bid from Procter & Gamble (P&G). The terms of the deal were not disclosed.
L'Oreal said Yue-Sai had sales of Euro38 million (HK$367.75 million) last year. The acquisition includes a US$20 million plant in Pudong.
L'Oreal China general manager Paolo Gasparrini said Yue-Sai was a symbolic brand for modern Chinese women and was a natural fit with the company's portfolio.
'The brand strengthens the group's leadership in make-up and facial skincare. The group's technological input will enable Yue-Sai to win new market share.'
In 1992, Ms Kan set up the company to make products specially designed for Chinese women, complaining she could not find cosmetics which suited her skin.