Coty Inc yesterday withdrew its unsolicited takeover offer for Avon Products Inc, ending a ten-week struggle by the over a century-old fragrance manufacturer to buy the world's largest cosmetics direct seller, depite having sweetened its offer to $10.7 billion.
The Paris and New York City-based company withdrew its bid after Avon did not respond to its sweetened offer by yesterday's deadline to enter into discussions on a possible deal.
''As our deadline to begin discussions expired today, our proposal is withdrawn,'' Coty chairman Bart Becht said in his letter to the Avon board. ''It is time for Coty Inc. to move on and pursue other opportunities.''
Coty had set 14 May deadline for Avon to decide on its latest offer and proceed with talks and due diligence, but Avon yesterday said that it would require a week to respond-an indication that it was not interested in doing the deal.
Coty decided to stick to its original deadline after it failed to reach Avon management despite several attempts over the weekend.
Coty's withdrawal will be welcomed by Avon's management, which had steadfastly rejected Coty's interest and wanted to keep the company independent.