L’Oréal invests in Partech Ventures

French-based cosmetics company L’Oréal has invested in venture capitalist firm Partech Ventures' early stage fund Partech International Venture VII.

This move is part of the cosmetic company's strategy to connect to startups across the world. It is also an opportunity for L’Oréal to finance early stage digital businesses.

L’Oréal's chief digital officer Lubomira Rochet said: “Our unique relationship with Partech Ventures will give us access to a high-quality and comprehensive sourcing of the best business to business (B2B) and business to consumer (B2C) digital players and contribute to the Group’s global strategy of Open Innovation.

"It will create value across the board for our brand and marketing teams and will connect us to new ideas and partners to better engage and serve our consumers."

Partech Ventures is expected to support the products and services of L'Oréal via prediction and personalisation tools, artificial intelligence, marketplaces, and new services.

Partech Ventures' co-managing partner Philippe Collombel said: “We are very proud to work with L’Oréal, a global leader of the beauty industry, as one of our strategic partners.

“L’Oréal has been amongst the first groups to understand the full potential of digital transformation and to integrate new tech partners and tools within its offer and organisation.

"This partnership embodies Partech Ventures’ international DNA and will enable win-win business opportunities for L'Oréal and our portfolio companies.”

L’Oréal’s investments are expected to boost its digital innovation strategy, including its Research and Innovation Technology Incubator at San Francisco, US. The company includes 32 brands, 82,900 employees, and had posted €25.26bn sales in 2015. The company focuses on research and innovation and has a research team consisting of 3,870 people.

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Image: L'Oréal headquarters in France. Photo: courtesy of Tangopaso/Wikipedia.