After more than 100 years of making appeal items in the United States, Avon is selling its last domestic factory to a French cosmetics producer. Fareva Group will take control of production at Avon’s AVP, +1.23% factory in Morton Grove, Ill., people acquainted with the plan stated. The agreement producer also will make private-label items for pharmacy chain Walgreens Boots Alliance Inc. at the underutilized, 500,000-square-foot plant, among individuals stated. Financial terms could not be discovered.
Present Avon workers are anticipated to keep their tasks as part of the ownership change, the person stated. Avon utilized 362 in Morton Grove in 2016, according to the northern Chicago suburban area’s records. The offer comes less than 3 years after New Avon LLC, previously the North American arm of Avon Products Inc., divided from the bigger company as part of a handle private-equity company Cerberus Capital Management LP. Cerberus purchased a 17% stake in the parent company and obtained 80% of New Avon, which separated the unprofitable department from Avon’s global business.