NATURA COSMÉTICOS S.A.

CNPJ/MF 71.673.990/0001-77 Publicly-held Company NIRE 35.300.143.183

MATERIAL FACT

We hereby inform our shareholders and the market in general, pursuant to the provisions of CVM Instruction No. 358/2002, and in continuity of the Material Facts issued on June 9 and 20, 2017, that, today, Natura (Brasil) International B.V., subsidiary of Natura Cosméticos S.A. ("Company") existing pursuant to the laws of the Netherlands and with operations abroad, and L'Oréal S.A. ("Seller") entered into a share purchase agreement in relation to the acquisition of 100% of the shares issued by The Body Shop International PLC ("The Body Shop") and its group of subsidiaries, held by the Seller. The execution of the share purchase agreement was approved by all the members of the Board of Directors of the Company.

The closing of the transaction of acquisition of The Body Shop is still subject to the applicable regulatory approvals, notably in Brazil and the United States of America.

The acquisition is not subject to resolution of the Company's general shareholders' meeting, and shall not grant withdrawal rights to its shareholders, under article 256 of the Law 6,404/1976, since the acquisition will be performed by Natura (Brasil) International B.V., an operational subsidiary of the Company, there being economic, operational and legal justification for that, pursuant to item 7.3 of the Ofício-Circular/CVM/SEP/Nº1/2017.

Yet, as a good corporate governance practice, and so that the shareholders have the opportunity to manifest themselves about the transaction, the Company has the intent of holding an extraordinary general shareholders' meeting, to be called in the future, after the closing of the transaction of acquisition.

The Company will keep its shareholders and the market in general duly informed of the relevant facts and events relating to this matter, pursuant to the applicable laws.

São Paulo, June 26, 2017.

NATURA COSMÉTICOS S.A. JOSÉ ROBERTO LETTIERE

Chief Financial and Investor Relations Officer

Natura Cosméticos SA published this content on 26 June 2017 and is solely responsible for the information contained herein.
Distributed by Public, unedited and unaltered, on 26 June 2017 21:49:09 UTC.