Tom Branna, Editorial Director01.22.21
Shiseido Co. is in advanced talks to sell its shampoo and affordable skin care business to CVC Capital Partners for 150 billion to 200 billion yen ($1.45 billion-$1.9 billion), as the Japanese cosmetics maker shifts its focus to premium beauty products. The operations targeted for sale includes the company’s Tsubaki hair-care products and is mainly active in Japan, China and other parts of Asia.
In a statement, Shiseido said the companies are in talks regarding subsequent joint management of the business aimed at its further growth and development as a shareholder of the company which will operate the transferred business; however, no formal decisions have been made as of yet. The company was responding to a Bloomberg report stating that Shiseido would transfer its personal care business.
"In order to maximize the potential of the business and further grow the brands in this competitive market, we need to make concentrated investments in product development and advertising, and in order to build the new business model that makes this possible, we are investigating various cases," Shiseido said in a statement.
Shiseido has been promoting its "Prestige First Strategy" and will continue to strengthen efforts in this core business with the aim of becoming a "premium skin beauty company" utilizing digital technology and centered on the Prestige/Premium beauty area. The company aims to be the world's No. 1 company in this area by 2030.
In a statement, Shiseido said the companies are in talks regarding subsequent joint management of the business aimed at its further growth and development as a shareholder of the company which will operate the transferred business; however, no formal decisions have been made as of yet. The company was responding to a Bloomberg report stating that Shiseido would transfer its personal care business.
"In order to maximize the potential of the business and further grow the brands in this competitive market, we need to make concentrated investments in product development and advertising, and in order to build the new business model that makes this possible, we are investigating various cases," Shiseido said in a statement.
Shiseido has been promoting its "Prestige First Strategy" and will continue to strengthen efforts in this core business with the aim of becoming a "premium skin beauty company" utilizing digital technology and centered on the Prestige/Premium beauty area. The company aims to be the world's No. 1 company in this area by 2030.