Valeant sells three skincare brands to L'Oreal for $1.3 billion

Canada-based Valeant Pharmaceuticals International Inc has entered into an agreement to sell its CeraVe, AcneFree and AMBI skincare brands to L’Oreal for $1.3 billion in cash. In another development, Valeant has sold its stake in Dendreon Pharmaceuticals to China’s Sanpower Group Co Ltd for $819.9 million. The company will use proceeds from both these divestments to permanently repay term loan debt under its senior secured credit facility.

Valeant’s CeraVe, AcneFree, and AMBI product lines have annualised revenue of approximately of $ 168 million. The CeraVe brand portfolio offers a range of advanced skincare products, including cleansers, moisturisers, sunscreens, healing ointments and a dedicated baby line. Developed with dermatologists, CeraVe is one of the fastest growing skincare brands in the US with average growth over the past two years exceeding 20 percent. While the AcneFree brand portfolio offers a full range OTC cleansers & acne treatments in the US, the AMBI brand portfolio offers a range of skincare products formulated for the needs of multicultural consumers that includes creams, cleansers and moisturisers in the face and body category.