Revlon Sells Borghese, Halston Lines to Saudi Investors
NEW YORK (AP) _ Revlon Inc. announced Monday the long-expected sale of its Princess Marcella Borghese and Halston businesses to Saudi investors for an undisclosed amount.
Revlon, which is still highly leveraged after its $2.7 billion leveraged buyout in 1985, will use proceeds from the sale for general corporate expenses, spokesman Daniel Moriarty said.
The Saudi investors, four brothers, did not wish to be identified further, spokeswoman Elisa Engel said. They formed a new company, Halston Borghese International Ltd., to buy and hold the Revlon divisions.
Marcella Borghese, one of Revlon’s upscale brands of cosmetics and fragrances, was rumored to be on the market since early last year.
Revlon sold its Max Factor business and a German subsidiary to Procter & Gamble Co. in April 1991 for $1.14 billion. The privately-held Revlon also sold stock in its National Health Laboratories unit to the public.
Proceeds from both sales were used to reduce the company’s debt load.
Moriarty said Revlon may still sell some much smaller assets. No transactions are anticipated in the near future, he said.
Revlon declined to release sales figures for Borghese or Halston.