Yesterday, Kibbutz Maabarot, one of Israel’s wealthiest kibbutzim, has taken its first steps into the beauty sector with a strategic acquisition of 51% of Lavido, a leading natural cosmetics brand. The deal, valued at an undisclosed amount, signifies a new direction for the Maabarot Products Group, which previously built its fortune in baby formula and agricultural products.
Lavido, a well-known Israeli cosmetics company, gained international recognition after Hollywood actress Gwyneth Paltrow endorsed its restorative serum on her lifestyle website, following a similar nod from ELLE magazine.
Founded 22 years ago by Ido Magal, Lavido began as a small venture into Chinese medicine and herbal healing. Today, the brand boasts 70 organic and plant-based skincare products, a flagship store in Ramat Yishai, and a presence in over 300 sales points worldwide. The company’s annual sales turnover stands at approximately $6 million, and its acquisition marks the beginning of Maabarot’s ambitious plans to establish a robust cosmetics division.
The Maabarot Products Group, chaired by former Tnuva CEO Arik Shor and led by CEO Yariv Greenberg, is no stranger to large-scale transactions. After selling its Materna baby formula brand to Nestlé for $200 million and other recent sales such as a Polish vitamin factory for $30 million, the group has demonstrated a strong track record of growth through acquisitions. Its current annual turnover is approximately $150 million.
According to Einat Ravid, head of the healthcare division at Maabarot, this acquisition is just the first step in creating a wellness-focused cosmetics division. “Lavido products are clinically and dermatologically researched, with proven efficacy. Combining their expertise with our management standards will position us for rapid growth,” she stated.
