Sabon was an Israeli skincare and body-care brand founded in 1997, known for its natural, handmade products sold through distinctive retail stores. By the mid-2010s, it had grown to 43 stores in Israel and a significant international presence, including in the United States, France, and Japan.
In 2016, Groupe Rocher — the parent company of Yves Rocher — acquired a two-thirds stake in Sabon for €120 million, valuing the brand at approximately €180 million. Two years later, in 2018, the founders sold their remaining 33% stake for $40 million and left the company. Groupe Rocher's total investment reached approximately €160 million.
The acquisition soon revealed structural problems. Sabon operated dual production centers — one in Israel and one in France — creating costly operational duplication and inefficiencies. After the founders departed, the brand received little marketing support from Groupe Rocher. The original 'handmade in Israel' positioning became diluted. In 2020, Sabon's US operations filed for Chapter 11 bankruptcy, closing underperforming stores and shifting to online-only. In Israel, the store count fell from 43 to 22.
In August 2025, Groupe Rocher announced it was exiting Israel entirely. It sold Sabon's Israeli retail network and online operations to the Golf Group for NIS 6.5 million (approximately US$1.9 million), under a five-year franchise agreement. The manufacturing plant in Kiryat Gat and the global logistics headquarters were closed, affecting approximately 270 employees — 92 retail workers transferred to Golf Group, while about 180 factory and headquarters employees were laid off. All production was relocated to Groupe Rocher's facilities in Brittany, France.
Dual production in Israel and France, founder departure, and weak marketing shrank the brand; the Israeli retail network sold for $1.9M in 2025.
Dual production centers in Israel and France created costly operational duplication that the brand's revenue could not support
Founders clashed with Groupe Rocher management and left in 2018, taking the brand's original vision and manufacturing expertise with them
Sabon received little marketing support from Groupe Rocher after acquisition, causing the brand to lose relevance against competitors
The US Chapter 11 filing in 2020 and the decline from 43 to 22 Israeli stores showed the brand was shrinking, not growing, under Groupe Rocher ownership
Groupe Rocher paid €160M for Sabon and mishandled the integration. The retail business sold for $1.9M — a cross-border deal that burned almost all its value.
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