PARIS — Shiseido Co. Ltd.’s transfer of its personal care business to CVC Capital Partners has concluded, and a joint venture business is now operational.
In February, Japan’s largest cosmetics company said to help reach its goal of becoming the world’s prestige beauty company by 2030, it would sell its personal care business to CVC in a $1.5 billion deal.
At the time, Masahiko Uotani, Shiseido present and chief executive officer, said in a statement the transfer’s purpose is to grow the personal care business, which is mass market and therefore differs from the group’s prestige cosmetics activity.
Shiseido’s personal care business, valued at 160 billion yen, operates primarily in Asia. It includes brands such as Tsubaki, Senka, Uno and Sea Breeze, and was transferred today from the group in Japan and its wholly owned subsidiaries.
A new company was set up, now called Fine Today Shiseido, and its shares shifted to the Oriental Beauty Holding Co. Ltd., or OBH, which is financed by funds advised by CVC.
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A joint venture, called K.K. Asian Personal Care Holding, the parent company of OBH, has been established. Shiseido, with a 35 percent stake, is to act as a shareholder of that company, which will operate its former personal care business.
CVC is to run K.K. Asian Personal Care Holding, which could go public.
The transfer of Shiseido’s personal care business in each overseas country is be taking place, too.