Avon news concerning a possible sale of the company has AVP stock on its way up Wednesday.
It looks like Avon (NYSE:AVP) and Natura are getting closer to signing a deal. The reports claim that this deal will have Natura paying to bring Avon into its fold. The exact amount of the offering is still unknown.
So when exactly can we expect an Avon news release announcing the deal with Natrua? If anonymous sources behind these rumors have it right, that announcement may come out as early as today, reports MartketWatch.
This isn’t the first time that rumors about a deal between Avon and Natura have popped up. There was also talk that the two were working on a deal back in September 2018. This is likely just an extension of those talks with the two companies now being closer to reaching an agreement about the transaction.
The idea of Avon and Natura coming together isn’t too much of a surprise. The companies are already a strong match for each other with their focus on direct sales.
Another positive of a potential deal between Avon an Natura is the new market for the former. Natura operates in Brazil and the country still has a strong direct sales market. That could be a boon to AVP with the company seeing that same market declining in its current areas of operation.
AVP stock was up 9% as of noon Wednesday.
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As of this writing, William White did not hold a position in any of the aforementioned securities.