CITIC Capital completes Axilone acquisition

The China-focused GP said in November that it had entered into advanced negotiations over the purchase of Axilone. Oaktree had launched a sale process earlier in the year, reportedly seeking around EUR350 million ($406 million). CITIC said in a statement that it sees considerable growth potential in the premium beauty care packaging space due to rising competition among global brands.

Founded in 1917, Axilone provides primary plastic and metal casings for lipstick, fragrance, and skincare products, working with leading beauty and personal care companies around the globe. The company has subsidiaries in France, Spain, the US, and China, and manufacturing facilities in France, Spain, and China.

Oaktree assumed control of the business in 2011 through its purchase of Nord-Est, a producer of packaging for the fragrance, cosmetics, and wine and spirits markets. The GP renamed the holding company Ileos Group, made several bolt-on acquisitions, and reorganized it into three business units: Axilone, perfume samples and promotions specialist Bioplan, and soft packaging provider Ileos Graphic.

The investment would come from CITIC Capital China Partners III, which is expected to close at $2 billion. The private equity firm has already closed the US dollar-denominated portion at the hard cap of $1.57 billion and is seeking a further RMB3 billion ($439 million) in renminbi. CITIC previously pursued separate China and international strategies but the teams have been combined for this fund.

Other recent international acquisitions include the sexual health division of Australia-listed medical products supplier Ansell for $600 million and New Zealand-based skincare products and fragrances specialist Trilogy International for NZ$250 million ($175 million).

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• Topics
• Greater China
• Europe
• Buyouts
• Trade sale
• Consumer
• China
• CITIC Capital
• Oaktree Capital