BUSINESS

Cosmetics seller Avon says it's now considering buyout offer from smaller Coty Inc.

05/13/2012 04:23 EDT | Updated 07/13/2012 05:12 EDT
NEW YORK, N.Y. - Avon says it's considering a sweetened buyout offer of almost $10.7 billion from Coty Inc.

Avon says that it expects to respond to the new offer within a week. The offer was made in a letter on May 9.

Coty sweetened its 2-month-old offer by about 6.5 per cent to $24.75 per share and demanded a response from Avon by Monday.

Coty indicated that Avon has said it wouldn't review any bid until its brand new CEO, Sherilyn McCoy, finishes reviewing all of Avon's operations.

Coty's financing sources include Warren Buffett's Berkshire Hathaway Inc., German holding company Joh. A. Benckiser GmbH, which controls Coty, and BOT Capital Partners.