BERLIN — Henkel AG is strengthening its hold on the U.S. hair-care market.
This story first appeared in the June 3, 2014 issue of WWD. Subscribe Today.
The Düsseldorf-based maker of Schwarzkopf, Dial and Persil said it has signed an agreement with TSG Consumer Partners to acquire three U.S. professional hair brands in a cash deal worth 270 million euros, or $368.2 million at current exchange.
Subject to approval from antitrust authorities, SexyHair, Alterna and Kenra will join Henkel’s professional hair portfolio, which includes labels such as Igora, BC Bonacure, Schwarzkopf Professional, Osis+ and Clynol. Henkel is currently third in the hair-salon market worldwide.
Henkel chief executive officer Kasper Rorsted had indicated earlier this year that he was looking for companies to buy.
“This acquisition is part of our strategy to invest in attractive country category positions in mature markets,” Rorsted said. “North America is the biggest single market for Henkel, and with these companies we will further strengthen our presence in this region.”
In 2013, SexyHair, Alterna and Kenra generated sales of about 140 million euros, or $185.9 million at average exchange, Henkel said.
The company’s full-year 2013 net sales were 16.36 billion euros, or $21.72 billion.