Korea Kolmar buys US cosmetics manufacturer for 17 bln won

Korea Kolmar Co., South Korea's original development manufacturing cosmetics manufacturer, said Monday it has bought a US-based cosmetics maker to pave the way for entering the North American market. 

In a regulatory briefing, Kolmar said it has established a special purpose company, named Seokoh, to acquire a 51 percent stake in Process Technologies & Packaging LLC for 17 billion won ($15.1 million).

Established in 1993, the Pennsylvania-based PTP has provided cosmetics for global brands including L'Oreal, Coty and Shiseido.

Kolmar said the deal is a joint partnership with Wormser Corporation, a New Jersey-based contract manufacturer of personal care cosmetics and fragrances, which will take over a 49 percent stake in PTP.

Under the agreement, Kolmar will be in charge of R&D and production and Wormser will lead marketing and sales in the American market.

"The deal is aimed at paving the way for entering the North and South American markets," Korea Kolmar said. "We expect to maximize synergy by combining PTP's color make-up technology, Korea Kolmar's expertise in basic skincare products and Wormser's sales network." (Yonhap)