Japanese cosmetics giant Shiseido has announced the acquisition of US-based Dr. Dennis Gross Skincare (DDG Skincare Holdings) as it looks to expand its portfolio with complementary brands.
The definitive agreement was struck by Shiseido Americas Corporation, a consolidated subsidiary of the group, which will complete the transaction and ensure there would be no significant impact on the financial results of the company for the fiscal period ended December 2023.
Through the deal, Shiseido hopes to further cater towards the anticipated increased awareness of “skin health” among consumers, with DDG already tapping into the growing US market in this area.
For the region, the group is also looking to drive profitability through an ongoing expansion plan in the Americas, a “strategically important region” for the firm. The integration of DDG will help to diversify Shiseido’s geographical footprint while “resolving the imbalances in [its] revenue streams”.
Furthermore, DDG’s inclusion in the portfolio will also aim to create synergistic effects with Shiseido’s strengths, as it looks towards its next phase of growth.
