Henkel closes acquisition of Zotos International
Henkel further strengthens Hair Professional business
Henkel has successfully closed the acquisition of Zotos International Inc., the North American Hair Professional business of Shiseido Company, Limited. The acquisition comprises leading hair professional brands such as Joico and Zotos Professional. The agreement to acquire the business was signed on October 26, 2017. The purchase price amounts to 485 million US dollars.
In fiscal 2016, Zotos International Inc. reported sales of about 230 million US dollars and employed around 700 people. Based in Darien, Connecticut, the company is mainly focused on the US market. In addition, it is present in Europe and Asia.
"This acquisition is part of our strategy to expand our position in attractive markets and categories. It further strengthens our Hair Professional business in the US, the world's single biggest hair professional market," said Henkel CEO Hans Van Bylen.
"The high-performance and high-quality brands are a perfect fit for our Beauty Care business. We are happy to welcome Zotos' successful and experienced team at Henkel," said Jens-Martin Schwärzler, Executive Vice President and responsible for Henkel's Beauty Care business.
"This transaction shows once more our strong capabilities to identify and execute attractive and compelling acquisitions. We will finance the transaction with existing liquid funds and available credit lines," said CFO Carsten Knobel.
The transaction is Henkel's third acquisition in the US hair professional business in recent years. In 2014, Henkel acquired the three US companies Sexy Hair, Alterna and Kenra. In September 2017, Henkel successfully closed the acquisition of Nattura Laboratorios with its strong US hair professional brand Pravana.
