J&J joins the ranks of CPGs acquiring shares of Asian beauty companies in hopes of benefiting from their short innovation cycles, savvy online marketing and massive market potential. We’re interested to see how such acquisitions will affect the skincare industry here in North America…
TOKYO (Reuters) – U.S. healthcare conglomerate Johnson & Johnson (JNJ.N) said on Tuesday it will buy all outstanding shares of Japanese skincare firm Ci:z Holdings Co Ltd (4924.T) that it does not already own for 230 billion yen ($2.05 billion) in cash.
J&J is betting the deal – which will give it ownership of popular brands such as Dr.Ci:Labo, Labo Labo and Genomer – will help it strengthen its international innovation pipeline.
The purchase adds to a flurry of cosmetics deals in Asia in recent years, as global brands seek to expand in a booming region that includes the $53.5 billion China market by leveraging Asian brands’ smart online marketing and fast turnaround times for new products.