Beauty Companies Must Play Their Hand Strategically To Attract Investors and Buyers

Experts Advise Brands to Be First Movers, Innovate Where the Wind is Blowing and Sell Through Alternative Channels

NEW YORK, NY, July 16, 2008 -- While there is a high level of interest from private equity investors and strategic buyers, beauty companies need to be savvy about current market and investor dynamics in order to capitalize on opportunities, according to a new report by Periscope Solutions. The Beauty IOD Deal Book report found that brands can strategically position themselves to be more attractive investment opportunities by understanding the market and targeted investors.

Leading industry experts from Peter J. Solomon, Demeter Group, Highland Capital Partners, Twist new.brand.venture and seasoned entrepreneurs share their insights and advice on capital-raising in today's competitive environment in this new report.

“We believe taking the time to understand the structural language, the philosophical rules and the mind-set or back-drop behind the financial deal makers currently investing or actively acquiring properties in the beauty arena, is paramount to a successful negotiation or even more importantly, choosing the best investment partner. Periscope Solutions’ Beauty IOD Deal Book is the ultimate cliff note guide to key players, their insights and the tick-tock pace of deal making in the beauty space,” says Tina Hedges & Beth Ann Catalano of TWIST new.brand.venture.

Some key insights from the report include:

• Be a First Mover in Niche Categories: Investors are looking for companies that are tapping a new niche product category or niche demographic with a brand that truly resonates with consumer needs.

• Innovate Where the Wind is Blowing: Companies with innovative products in hot sectors, such as naturals and organics, will benefit from the successes of others.

• Sell Through Alternative Channels: Investors and strategic buyers are gravitating to beauty companies that have built their businesses in fast-growing, alternative channels, including the Internet, TV retailing and specialty stores.

The Beauty IOD Deal Book Report provides a comprehensive look at the current climate for capital raising for beauty companies: the driving factors and players, the brands that are being funded, and the valuations they are receiving.  Based on primary and secondary research, the report examines dozens of funded brands, strategic buyers and private equity firms looking for acquisitions. For further information on this report visit: http://beauty.iodcenter.com/report-series.html

About Periscope Solutions LLC
Incorporated in 2001, Periscope Solutions provides research, consulting services and software products designed to make information accessible and useful for individual professionals, organizations and communities. Periscope's research and consulting services are focused on the areas of strategy, marketing and operations.  The company is dedicated to delivering products and services that inform and inspire the creation of great products, services and companies. For more information, please visit www.periscopesolutions.com