Coty ups its offer for Avon

NEW YORK — In an effort to move forward with its acquisition of Avon, Coty has reached out to Avon's board members in a letter, stating that Coty is willing to augment its original buyout offer.

Stating it was "disappointed by the current stalemate," Coty said Thursday in a letter that it is "revising [our] proposal to $24.75 subject to due diligence and the other conditions. This price represents a premium of over 36% to the original undisturbed closing price on March 6, 2012 before our initial proposal of $22.25 and also represents over $1 billion of incremental value to your shareholders, despite a materially weakened outlook for your business."

Last month, Coty reaffirmed its interest in Avon after the company rejected the unsolicited bid valued at $10 billion.

Coty requested in its letter to Avon's board that the company respond by close of business this Monday. If Avon's board again rejects the bid, Coty said it will withdraw its proposal.