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Majority stake in FragranceNet.com acquired by unit of B&S Group

Workers at FragranceNet.com, which has 250 employees, at

Workers at FragranceNet.com, which has 250 employees, at the company's Deer Park headquarters in 2014.  Credit: Newsday/John Paraskevas

An affiliate of a global distribution company based in Luxembourg and Dordrecht, the Netherlands, has acquired a majority stake in FragranceNet.com Inc., a Deer Park-based online retailer of perfume and beauty products.

Financial details of the investment by the unit of B & S Group were not disclosed in the announcement Tuesday.

Shares of FragranceNet.com Inc.  closed down 5.9 percent to $4.00 on Wednesday, giving the company a market capitalization of about $70 million. The stock was trading at $2.90 a year ago.

The news release said the acquisition of FragranceNet.com "will allow B & S Group to generate [a] substantial footprint in North America and to roll out FragranceNet.com's business model to other geographical areas."

Calls and emails to FragranceNet.com, which has 250 employees, and B & S Group were not immediately returned.

Jason Apfel, president of FragranceNet.com, said in the news release B & S will provide "the opportunity of expanding our business model."

Bert Meulman, chief executive of B & S Group, said the deal "underlines our strategy of value chain integration."

The deal is expected to close in the fourth quarter of 2018.

B & S distributes liquors, perfumes, cosmetics, food, beverages and electronics in Europe, the Middle East and Central Asia, according to its website.

Lazard Middle Market served as financial adviser to FragranceNet.com.

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