10.27.17
Henkel has drawn additional hair care brands under its wing, having signed an agreement to acquire Zotos International Inc., the North American Hair Professional business of Shiseido Company, Limited for $485 million. The acquisition comprises leading hair professional brands such as Joico and Zotos Professional.
In fiscal 2016, Zotos International Inc. reported sales of about $230 million and employed around 700 people. Based in Darien, CT, the company is mainly focused on the U.S. market, where it operates a manufacturing site as well as an R&D facility. The business is also present in Europe and Asia.
“This acquisition is part of our strategy to expand our position in attractive markets and categories. It will further strengthen our Hair Professional business in the U.S., the world’s single biggest hair professional market. The high-performance and high-quality brands are a perfect fit for our Beauty Care business. We are looking forward to welcoming Zotos’ experienced team at Henkel,” said Henkel’s chief executive officer, Hans Van Bylen.
The transaction is Henkel’s third acquisition in the U.S. hair professional business in recent years. In 2014, Henkel acquired the three U.S. companies Sexy Hair, Alterna and Kenra. Last month, Henkel successfully closed the acquisition of Nattura Laboratorios with its strong U.S. hair professional brand Pravana.
Shiseido says it will use the resources gained from this transaction to further pursue its strategic objectives of continuing to nurture its Prestige brands globally, reinforcing production capability and other activities in order to implement its “New Strategy to Accelerate Growth” in the next three years of its VISION 2020 plan.
In fiscal 2016, Zotos International Inc. reported sales of about $230 million and employed around 700 people. Based in Darien, CT, the company is mainly focused on the U.S. market, where it operates a manufacturing site as well as an R&D facility. The business is also present in Europe and Asia.
“This acquisition is part of our strategy to expand our position in attractive markets and categories. It will further strengthen our Hair Professional business in the U.S., the world’s single biggest hair professional market. The high-performance and high-quality brands are a perfect fit for our Beauty Care business. We are looking forward to welcoming Zotos’ experienced team at Henkel,” said Henkel’s chief executive officer, Hans Van Bylen.
The transaction is Henkel’s third acquisition in the U.S. hair professional business in recent years. In 2014, Henkel acquired the three U.S. companies Sexy Hair, Alterna and Kenra. Last month, Henkel successfully closed the acquisition of Nattura Laboratorios with its strong U.S. hair professional brand Pravana.
Shiseido says it will use the resources gained from this transaction to further pursue its strategic objectives of continuing to nurture its Prestige brands globally, reinforcing production capability and other activities in order to implement its “New Strategy to Accelerate Growth” in the next three years of its VISION 2020 plan.
