TOKYO — Japanese cosmetics maker Shiseido plans to sell a portion of its business, including hair care products, to European private-equity fund CVC Capital Partners for possibly more than 100 billion yen ($965 million), Nikkei has learned.
The move comes amid slumping sales during the coronavirus pandemic as more people stay at home. Shiseido aims to sell less-profitable businesses to focus on its core cosmetics business.
CVC will acquire Shiseido’s “personal care business,” which develops and sells daily necessities like skin care and body care products found in drugstores. It will also include its “Tsubaki” haircare brand of shampoos and conditioners as well as “Uno,” a popular men’s hair styling brand.
The business logged total revenue of 105.3 billion yen in the Asia region, including Japan and China, for the year through December 2019, accounting for 9% of Shiseido’s overall revenue.
According to people familiar with the matter, Shiseido will