Avon
December 4, 2024
SAO PAULO, December 4, 2024 --
Natura &Co said the U.S. bankruptcy court overseeing Avon Products Inc. and affiliated debtors approved both the global settlement with the unsecured creditors committee and the sale of Avon's operations outside the United States to Natura through a 125 million dollar credit bid, subject to entry of the orders on the docket.
The final settlement confirms that Natura will pay the Avon estates 34 million dollars in cash, disburse 43 million dollars of prepetition DIP financing, and waive its secured and unsecured claims except for the 125 million dollars used as sale consideration. Accounting effects of the claim waiver were already reflected in Natura's third-quarter results.
Natura said Avon's results will be re-consolidated into its financial statements as of December 4, 2024, though closing of certain markets remains subject to regulatory approvals. It also said it will resume studying strategic alternatives for Avon outside Latin America, which may include a separation, sale or partnership.