The Estée Lauder Companies Inc. makes its first acquisition of an Asia-based beauty brand, buying the two-thirds of Have & Be Co. Ltd., the company behind Dr. Jart+ and Do The Right Thing, that it doesn’t already own for about $1.1 billion, giving Have & Be an enterprise value of about $1.7 billion.
WHO: Founded in 2005 by CEO ChinWook Lee in Seoul, South Korea, Dr. Jart+ is fueled by cutting-edge innovation that combines dermatological science and art, as is reflected in the brand name, which is inspired by the phrase “Doctor Joins Art.” Dr. Jart+ has global appeal, best known for its high-quality, on-trend skincare collections such as Cicapair and Ceramidin. The brand is renowned for its outstanding and fast-moving innovation pipeline and rapid speed-to-market capabilities. Its products are sold through specialty-multi channels, travel retail, freestanding stores, high-end department stores, and e-commerce sites in more than 35 countries.
The Estée Lauder Companies Inc. is one of the world’s leading manufacturers and marketers of quality skincare, makeup, fragrance, and haircare products. The company’s products are sold in approximately 150 countries and territories under brand names including: Estée Lauder, Aramis, Clinique, Prescriptives, Lab Series, Origins, Tommy Hilfiger, M·A·C, Kiton, La Mer, Bobbi Brown, Donna Karan New York, DKNY, Aveda, Jo Malone London, Bumble and bumble, Michael Kors, Darphin, Tom Ford, Smashbox, Ermenegildo Zegna, AERIN, Tory Burch, RODIN olio lusso, Le Labo, Editions de Parfums Frédéric Malle, GLAMGLOW, By Kilian, BECCA, and Too Faced.
WHY: Dr. Jart+ is expected to help further strengthen The Estée Lauder Companies’ leadership position in skincare, and will especially help expand the company’s consumer reach in Asia/Pacific, North America, the United Kingdom, and travel retail.
IN THEIR OWN WORDS: “We have built an incredible, long-term partnership with ChinWook Lee and his terrific team over the last four years, and we are so pleased to officially welcome this fast-growing and globally beloved brand into our portfolio,” Fabrizio Freda, President and Chief Executive Officer of The Estée Lauder Companies Inc., said in a statement. “As the Company’s first acquisition of an Asia-based beauty brand, Dr. Jart+’s focus on creating high-quality skincare products that fuse dermatological science, incredible innovation capabilities and artistic expression make it a terrific, strategic addition to our diverse portfolio of prestige beauty brands. We look forward to continued global growth in the years to come.”
“The Estée Lauder Companies is the ideal home for our brands,” Mr. Lee, founder and Chief Executive Officer of Have & Be Co. Ltd., said in a statement. “Since the beginning of our partnership four years ago, the Company has shared our mission to provide the very best skincare and beauty products to consumers around the world. We are excited for the opportunity to continue this partnership as we continue to innovate and grow our brands globally.”
“The entrepreneurial spirit and creativity of Dr. Jart+ is a perfect fit for The Estée Lauder Companies,” William P. Lauder, Executive Chairman of The Estée Lauder Companies Inc. said in a statement. “As consumers increasingly focus on skincare and the category continues its rapid global growth, the influence of cutting-edge, scientifically-driven brands like Dr. Jart+ is undeniable. We are delighted to welcome ChinWook Lee and his entire team to our family.”
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