Kosé Corporation will acquire Tarte, Inc., a New York-based color cosmetics and skin care brand that specializes in products based on naturally-derived ingredients. The purchase price is $135 million and the deal is expected to close next month. Tarte will continue to be run by its founder, Maureen Kelly, who will remain a shareholder in the company.
Kosé is taking many actions aimed at expanding overseas operations, which is part of the theme of "concentrating on growth drivers" that is one of the basic strategies of the current Medium-Term Management Plan. Until now, operations outside Japan have been mostly in Asia and the ASEAN region. 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 that is expected to contribute to achieving the goals of the Medium-Term Management Plan.
By acquiring Tarte, Kosé plans to heighten its stature in North America while continuing to expand overseas operations and add new sales channels and customers, according to company executives.