J&J offers to buy out Japanese cosmetics firm
Consumer goods giant Johnson & Johnson (J&J) has announced that it will buy all outstanding shares of Japanese cosmetics and skincare company Ci:z Holdings that it does not already own for approximately 230 billion yen (US$2.05 billion).
Ci:z Holdings handles the marketing, development and distribution of a range of dermocosmetic, cosmetic and skincare products. As part of the deal, J&J will acquire the company’s range of brands including Dr.Ci:Labo, Labo Labo and the Genomer line of skincare products.
J&J hopes the addition of the skincare portfolio will strengthen its market presence in Japan with key customers and expand its offering of science-based dermocosmetic brands.
“Health and beauty consumers are actively seeking science-based innovation to improve their skin,” said Jorge Mesquita, Worldwide Chairman, Johnson & Johnson Consumer.
“This transaction will maximise value creation for Johnson & Johnson’s Consumer business by bringing in an agile innovation model and rapidly accelerating sales through our global commercialization expertise.”
J&J is the second-largest shareholder in the company, owning 19.9 per cent through an affiliate since 2016, allowing it to distribute the brands outside of Japan. J&J will pay 5,900 yen per remaining Ci:z share and will also acquire the shares owned by the Japanese firm’s founder Yoshinori Shirono.
In a statement the company said the deal will provide a strong platform for growing its global innovation pipeline.