Revlon’s Proposed Bankruptcy Won’t Include Ronald Perelman

Revlon’s restructuring plan won’t include Chairman Ronald Perelman, according to legal filings. The company is overwhelmed by a one-two punch of $3.5 billion in debt and a more competitive color cosmetics market. Revlon entered into a Chapter 11 restructuring support agreement with two creditor groups. Under terms of the agreement, secured lenders would assume ownership of Revlon. Existing shareholders would get nothing. At last look, Perelman held about 85% of Revlon's stock.

The company had sales of $2.0 billion last year and was ranked No. 15 in Happi's The Top 50, our annual look at the world's largest US companies in the global household and personal products market.

Revlon’s new owners would be Consenting BrandCo Lenders, which includes Ares Management and Oak Hill Advisors, and the Official Committee of Unsecured Creditors, appointed in the Chapter 11 cases.

Any agreement would require the approval of a US bankruptcy court and for Revlon to exit the Chapter 11 bankruptcy process by no later than April 17, while the option of a sale is also still on the table.

Revlon filed for bankruptcy earlier this year. Since 2020, Perelman has held a fire sale of sorts, unloading a mansion, private jet, yacht and most recently, his $21 million design and furniture collection.