Golf cuts deal for Sabon stores amid plans to close soapmaker’s Israel operations

The Golf Group announced on Monday that it has reached a franchise acquisition deal to operate the local Sabon store chain, as the Israeli-founded maker of natural bath and body products, owned by French cosmetics giant Yves Rocher, plans to shutter its manufacturing and logistics operations in the country.

As part of the agreement, the Israeli Golf retail group is buying exclusive franchise rights of Sabon’s online and retail operations, which include 22 stores spread across the country, for a total of NIS 6.5 million ($1.9 million). The five-year agreement also includes the purchase of assets and properties used by the Sabon retail chain in Israel.

Under the terms of the deal, the Israeli fashion and home design retail chain has committed to absorbing Sabon’s 92 store employees as part of the group. Sabon’s Kiryat Gat manufacturing factory, its Israel headquarters, as well as its logistics and distribution center, were not included in the deal and will be closed in 2026. As a result, 178 employees are expected to be laid off.

The skincare brand was founded in 1997 by two childhood friends, Sigal Kotler-Levy and Avi Piatok, who opened a shop on Shenkin Street in Tel Aviv, selling handmade soap by weight using a 70-year-old native Australian recipe they picked up in their travels. Over the past two decades, Sabon has expanded into an international brand of cosmetic and home style products, operating 180 stores in 14 countries with a global workforce of 1,000 employees. In 2016, the founder sold 70 percent of Sabon to French cosmetics giant Yves Rocher and the remainder two years later.

At the end of June, Yves Rocher-owned Sabon announced plans to consolidate all of its manufacturing at its factory in France and close its manufacturing plant in Israel. The Kiryat Gat plant will be shut down by June 2026, unless ongoing advanced negotiations for the sale of the factory with a potential unnamed buyer materialize.

Starting in early 2026, the producer of soap and cosmetic products will also gradually close its Israel-based global headquarters, while its logistics center is expected to close in October of this year.