Amorepacific entered into an investment agreement to secure minority shares of emerging K-beauty power player COSRX and pursue joint projects.
WHO: Founded in 2013, COSRX is a K-beauty brand with eight product lines distributed in 40 countries, including the US, Southeast Asia, Europe, China, and Japan, with overseas sales accounting for 80% of total sales.
Founded in 1945, Amorepacific has grown to be Korea's leading beauty company with its portfolio of over 20 cosmetics, personal care, and health care brands. Amorepacific is devoted to meeting the various lifestyles and needs of global consumers around the world: Asia, North America, Europe, Oceania, and the Middle East.
WHY: The companies plan to share knowledge and create strong synergies. COSRX has a deep understanding of millennials and Gen Z, and success on global platforms like Amazon and North American markets is valuable to Amorepacific.
IN THEIR OWN WORDS: Ahn Sae-Hong, President Amorepacific Group, said, "Through this partnership with COSRX, a brand beloved by the MZ generation globally for its outstanding marketing and digital business capability, we aim to grow together and enhance the prestige of K-beauty in the global market. Amorepacific will continue to build partnerships with brands at home and abroad with high growth potential to leverage our R&D and production capabilities to foster synergy effect."
- Amorepacific agreed to acquire a 38.4% minority stake in COSRX for 180 billion won ($153 million), making the group the second largest shareholder of COSRX.
- Amorepacific has a call option to buy the remaining 57.6% stake in the brand (excluding treasury stock) over a two-year period from 2024 to 2025, leaving the door open for a complete acquisition of the brand.
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