
A SHARP rise in investment activity involving natural personal care companies is expected in 2010. Improving economic conditions and easing of capital restrictions are making investors target this high-growth sector once again, a new report from Organic Monitor finds. After a lull period of 18 months, major deals have restarted. Shiseido has acquired bare Escentuals in a $1.7-billion deal, whilst the cosmetics company Clarins completed its purchase of Kibio this month. Organic Monitor (www.organicmonitor.com) sees more such deals on the horizon as investors once again start pursuing natural personal care companies. Investors are attracted by high market growth rates and profitable product categories. European companies are expected to be involved in major deals in 2010 because of the lack of "investable" companies in North America.
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