In the wake of other Japanese cosmetics giants, Kosé is seeking growth opportunities outside its ageing home. However, Until now, operations outside Japan have been mostly in Asia and the ASEAN region. The announcement of an agreement to acquire New York-based brand Tarte thus marks a new step for the group.
“Kosé is now starting to increase the pace of becoming a more global organization by entering countries where the company does not yet have a presence. Acquiring a well-known North American brand gives Kosé a new source of growth outside Japan,” said the company in a release.
Through this acquisition, Kosé plans to heighten its stature in North America while continuing to expand overseas operations and add new sales channels and customers.
Tarte sells a line of colour cosmetics and skin care products based on naturally-derived ingredients. The majority of Tarte’s sales are in North America, through premium distribution channels such as Sephora, Ulta and Macy’s. Products are also sold on Tarte’s own website and on TV through QVC. “Tarte’s cosmetics and skin care products are very popular among women in their 20s and 30s. Sales have grown consistently since Tarte began operations in 1999 and the company now has a solid position in the cosmetics and skin care industry,” Kosé added.
The closing of the acquisition is subject to antitrust clearance in the United States as well as other customary closing conditions.