The global beauty industry has just witnessed another major transformation. Natura &Co, the Brazilian beauty powerhouse, has officially entered into a binding agreement to sell Avon International its operations across Europe, Asia, and Africa to Regent, a U.S.-based private equity firm.
This deal is the last step in Natura’s years-long plan to make things easier. After years of quickly growing around the world through acquisitions, the company is now changing its strategy. It is cutting back on its portfolio and only focusing on Latin America, which is its best and most profitable market.
Natura bought Avon Products in 2020 to become the world’s best beauty brand. But it was very hard to get a business that big to work together. It was hard to manage a global business because of different markets, complicated supply chains, and rising financial pressure, especially after COVID-19 caused problems.
Now, the strategy has changed. Natura has already sold Aesop to L’Oréal, The Body Shop to Aurelius Group, and Avon CARD (Central America and the Caribbean) to Grupo PDC. With the sale of Avon International, Natura is essentially retreating from its once-global ambitions in favor of strengthening its Latin American core.
“This is the final step of our simplification journey,” said Fábio Barbosa, Chairman of Natura &Co, underscoring the importance of narrowing focus and consolidating resources.
Despite the sale, Natura is not saying goodbye to Avon entirely. The company will keep owning and running Avon in Latin America, which will protect the brand’s intellectual property and strong presence in the region. João Paulo Ferreira, the CEO, said that merging Avon and Natura’s operations in Latin America will make things run more smoothly. This will help the company make more money and grow in its home region.
Natura isn’t just about cutting back; it’s also about using what it does best. Latin America is still one of the most exciting beauty markets in the world, and millions of people still know and trust Avon.
On the other side of the table, Regent inherits a legendary brand with a long legacy. Avon International once dominated direct selling in beauty, famous for its “Avon Lady” model, which many consider the original form of influencer marketing.
“Avon is a legendary brand and a pioneer in social commerce,” said Michael Reinstein, Chairman of Regent, reflecting optimism about revitalizing Avon in Europe, Asia, and Africa.
But Regent faces challenges. Avon International has had trouble in mature markets because beauty brands that are native to the internet and rely on influencers to sell directly to consumers have changed the industry. We need to make big changes to how we use technology, how we market our brands, and how we do business in the modern world in order to get growth going again in these areas.
This deal signals a broader shift in the global beauty industry. Scale is no longer the ultimate goal. Instead, companies are finding that focus and regional strength deliver more sustainable results.
Avon, once the world’s largest direct selling beauty company, has been in decline for years as consumer behavior shifted toward online channels and fast-moving beauty startups. Natura’s retreat to Latin America and Regent’s bet on Avon’s revival outside the region show how legacy brands are changing for a new era.
Natura’s biggest problem will be dealing with the ups and downs in Latin America, like changes in currency, economies that aren’t stable, and more competition. Avon is still trying to change its position in the area, and there is no guarantee of success.
For Regent, the task is even steeper. Breathing new life into Avon International requires digital transformation, influencer engagement, and supply chain modernization—all in highly competitive markets dominated by brands like L’Oréal, Estée Lauder, and countless indie disruptors.
The sale of Avon International to Regent is more than just a financial deal. It’s a story of reset and reinvention. Natura is shedding the weight of global complexity to strengthen its roots in Latin America, betting on a market it knows best. Regent, meanwhile, takes on the challenge of modernizing one of beauty’s most iconic names.
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