News Summary: Coty raises bid for Avon

AP News
Posted: May 10, 2012 4:03 PM
News Summary: Coty raises bid for Avon

THE NEWS Beauty products maker Coty Inc. said Thursday it is raising its bid for direct-seller Avon Products Inc. by about 6.5 percent to almost $10.7 billion, with help from billionaire investor Warren Buffett's Berkshire Hathaway.

THE CONTEXT: Coty's financing sources include Berkshire Hathaway Inc. along with Joh. A. Benckiser GmbH, the German holding company that controls Coty, and BOT Capital Partners. JPMorgan Securities would provide debt financing. Avon rejected Coty's previous offer but is considering this one.

WHAT'S NEXT: Coty has requested a response from New York-based Avon Products by Monday.