MOSCOW, August 2. /TASS/. Russian Federal Antimonopoly Service (FAS) approved sale of the cosmetics business of Procter & Gamble (P&G) to US cosmetic producer Coty, press service of the regulator told TASS on Tuesday.
The Russian government commission on control of foreign investments in Russia gave a tentative approval to the transaction of acquisition of 100% shares in Galleria Co (Procter & Gamble’s cosmetics subsidiary) by Coty Inc., FAS said.
Approval of the transaction by the Russian regulator is needed because as a result of it Coty may indirectly dispose of 100% votes in Russia’s Capella factory owned by P&G, which has strategic importance for the national defense and security, the antimonopoly service said.
Capella factory based in Nizhniy Novgorod Region is producing branded shampoos and hair-dyes, such as Shamtu, Wellaton, Londacolor, and Safira. The factory is supplying products domestically and exports them to CIS states and East Europe.