RIO DE JANEIRO (AP) — The Brazilian cosmetics maker Natura has announced that it is buying Avon Products in an all-stock deal.

Natura said Wednesday the deal would create the world's fourth-largest group of beauty products and aims to give the Brazilian brand a global reach.

Natura said in a statement that the estimated value of the deal is $3.7 billion. Shareholders of both companies still have to approve the deal.

The Brazilian company says a holding company will be created, with 76% of the shares going to current Natura stockholders and 24% to Avon's. It expects to conclude the deal in the beginning of 2020.

The Brazilian company started with a door-to-door model similar to Avon's, but recently bought retail stores like The Body Shop.