Coty shares are exploding on a report that it won an auction for two Procter & Gamble businesses.
Shares rose more than 18% in morning trading on Tuesday following the report in The New York Post on Monday.
Coty’s is a beauty products company that distributes products for brands include Calvin Klein, Adidas, and David Beckham’s fragrances.
This deal, reportedly worth up to $US12 billion, will expand its portfolio, the Post reported.
Procter & Gamble had auctioned three of its businesses earlier this year to focus on its key businesses.
Coty learned about its win over the weekend, according to the Post.
Coty’s stock, which climbed to as high as $US30.87 on Tuesday, is now up 48% year-to-date, and 81% over the past 12 months. Procter & Gamble shares were up less than 1% on Tuesday.
Here’s a chart showing the pop in Coty shares:
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