L’Oréal creates Saudi subsidiary

L’Oréal has announced that it is reinforcing its position in the Kingdom of Saudi Arabia through the establishment of a new subsidiary, L’Oréal KSA, based on a joint venture with its distributor in the region, Al Naghi Group.

L’Oréal has been active in Saudi Arabia since 1982 and has distributed products from its consumer products, active cosmetics and professional products divisions through Al Naghi (its sole local distributor) since 2000.

The company says the new subsidiary will manage a portfolio of brands including L’Oréal Professional, Kérastase, L’Oréal Paris, Garnier, Maybelline New York and Vichy. In addition, L’Oréal KSA will look to implement best practices on developing the local market, increase consumer proximity to better understand the Saudi woman’s needs, ensure greater reach for the group’s products to more Saudi consumers and commit to training, educating and nurturing local talent within the L’Oréal KSA team.

Geoff Skingsley, L’Oréal’s managing director, Africa & Middle East, said that L’Oréal was confident of significantly improving both its and Al Naghi’s positions in the Saudi market, while Sheikh Mohamed Yusuf, Naghi Group chairman, said: “We are very proud to be associated with such an ethical, consumer and community enabling group and look forward to building the business further.”