Chinese beauty company Yatsen acquires iconic skincare brand Galénic from French pharmaceutical and dermo-cosmetic group Pierre Fabre.
WHO: Galénic is a premium French skincare brand that was introduced in France and other European markets in the late 1970s by Mr. Pierre Fabre, a renowned French pharmacist credited with inventing the dermo-cosmetic category worldwide. Galénic has acquired iconic status in France through selective distribution in high-end pharmacies and a regular flow of breakthroughs in cosmetic actives and galenic innovations.
More than 50 years ago, Pierre Fabre invented dermo-cosmetics, a pioneering vision that brings together health and beauty. Based in Castres, France, the group registered sales in 2019 of 2.4 billion euros with products distributed in 130 countries. The company is structured around two main divisions: Medical Care with a focus on oncology and dermatology, and Dermo-cosmetics with a portfolio of global brands including Eau Thermale Avène, Ducray, Klorane, A-Derma, and René Furterer.
Yatsen, founded in 2016, is a leader in the rapidly evolving China beauty market. With three fast-growing, successful color cosmetics and skincare brands—Perfect Diary, Little Ondine, and Abby’s Choice—Yatsen serves over 20 million consumers in China. Through a digitally native and technology-driven omni-channel direct-to-consumer business model that is new to China’s beauty industry, the company focuses on deep customer engagement, innovative product development, and personalized services.
WHY: With this deal, Yatsen intends to improve its research and development capabilities, boost product innovation, and benefit from Pierre Fabre’s experience in product development and brand building. Pierre Fabre wants to refocus its investments in skincare on brands relying on dermatologist recommendations and on populations prone to pathological skin conditions.
IN THEIR OWN WORDS: “As a young and rapidly growing beauty group, Yatsen is very honored to reach this strategic partnership with Pierre Fabre. Over the years, French brands have been popular among Chinese consumers for their elegance, fashion, refinement, and leading R&D efforts. We firmly believe that with Pierre Fabre’s unique and leading capability and excellent team, Yatsen will be empowered for future growth,” David Huang, Yatsen Group founder and CEO, told WWD.
“We could not have thought of a better acquirer for the Galénic brand that was created by our founder, Mr. Pierre Fabre. Galénic has very strong roots in France and we are confident that Yatsen will bring the brand to the next level by leveraging these roots with Chinese consumers. As far as Pierre Fabre is concerned, this divestiture is consistent with our strategy to focus our investments in skincare on brands relying on the dermatologist’s prescription and targeting skins suffering from pathologic conditions, which is not the case of Galénic,” Eric Ducournau, Pierre Fabre CEO, told WWD.
DETAILS:
