Latest News by Industry
• Shares plummeted 53% on Friday following news
• Revlon faced stiff competition from digital-native upstart brands
Cosmetics maker Revlon Inc (NYSE: REV) is preparing to file for chapter 11 protection as soon as next week, the Wall Street Journal reported on Friday, citing people familiar with the matter.
Revlon’s shares plummeted almost 53% to $2.05 on Friday following the news.
The lipstick maker began talks with lenders ahead of looming debt maturities to try to steer the business clear of bankruptcy, the WSJ reported last week.
Revlon had long-term debt of $3.31 billion as of end-March.
The demand for makeup products has bounced back in recent months as people worldwide have started venturing out more often since COVID-19.
However, in March, Revlon, which is facing stiff competition from digital-native upstart brands, said that the company faced supply chain constraints that hurt its ability to service demand.
Picture Credit: MarketWatch
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