LUXOTTICA GROUP ACQUIRES ÓTICAS CAROL IN BRAZIL
Global premium eyewear company Luxottica Group S.p.A has signed an agreement with the current shareholders of Óticas Carol under which Luxottica will acquire 100 percent of Óticas Carol, one of the largest optical franchisors in Brazil with approximately 950 locations.
The transaction, which is valued at Euro 110 million (approximately $118 million), remains subject to customary regulatory approvals and is expected to close in the first half of 2017.
Upon completion, the transaction will mark Luxottica’s entry into the optical retail business in Brazil, a region with excellent growth potential in eyewear. Luxottica currently operates a network of Sunglass Hut stores in Brazil and has a solid presence through its wholesale business and a manufacturing plant in Campinas.
Established in 1997, Óticas Carol sells a broad range of prescription frames and sunglasses, with annual system sales of approximately Euro 200 million. Óticas Carol has achieved significant growth in recent years, strengthening its management team and growing its retail footprint from approximately 500 stores in 2013 to 950 in 2016, largely through established partnerships with franchisees.
“Brazil is a great country, one we have believed in and operated in for 25 years,” said Leonardo Del Vecchio, executive chairman of Luxottica Group. “With this transaction, we take one step further in completing our vertically integrated business model, which has shown many benefits for all our consumers.”
“The transaction brings Carol to a whole new level,” added Ronaldo Pereira, CEO of Óticas Carol. “Our franchisees will belong to a global eyewear company, which brings them a greater sense of security to continue to grow and invest in our brand. Now we have all the necessary tools to move forward with our expansion plans.”
