Cosmetics giant Revlon Inc yesterday said it is buying back Spanish salon-focused beauty-care company The Colomer Group (TCG) from private equity firm CVC Capital Partners, for $660 million in cash.

The transaction, which is expected to close in the fourth quarter of 2013, will be financed by Revlon with funds underwritten by Citigroup Global Markets.

CVC Capital and the Colomer family had acquired Revlon's salon-products business in 2000 for around $315 million to form TCG, which manufactures and distributes a broad line of leading salon and retail hair and nail care products around the world.

Its three core product areas are salon products - Revlon-branded hair and nail care products; retail branded beauty products and ethnic products specially designed for African hair.

The Barcelona-based company's main markets are the US, Spain, Italy, Mexico and France.

TCG will complement Revlon, since it markets and sells professional products to salons and other professional channels under brands such as Revlon Professional hair care, which it currently licenses from Revlon under a long-term agreement.

TCG also sells certain brands directly into retail channels, including Natural Honey body lotions and Llongueras hair care, and operates a multi-cultural hair-care business under the Crème of Nature brand.

Approximately 50 per cent of TCG's sales are in Europe, Middle East and Africa, and 40 per cent is generated from the US, and the remaining 10 per cent from the rest of the world.

''This acquisition, which we expect to be accretive to cash flow and earnings in the first year, represents a significant and logical strategic step forward for Revlon as it complements our core business, expands our distribution into new channels, and provides meaningful cost synergy opportunities,'' said, Alan Ennis, president and CEO of New York-based Revlon.

Lorenzo Delpani, CEO of TCG said, ''I am delighted that we are joining the Revlon family. My leadership team and the entire Colomer organization are very proud of our accomplishments in building our business, and we look forward to working with Revlon and continuing the positive momentum of our company.''