"Health and beauty consumers are actively seeking science-based innovation to improve their skin," said Jorge Mesquita, worldwide chairman, Johnson & Johnson Consumer. "This transaction will maximize value creation for Johnson & Johnson's Consumer business by bringing in an agile innovation model and rapidly accelerating sales through our global commercialization expertise."
In July 2016, Cilag GmbH International, an affiliate of J&J, entered into a long-term strategic collaboration with the company, to distribute the company's brands outside of Japan. As part of this collaboration, Cilag acquired approximately 19.9% of the outstanding shares of the company.
The tender offer is part of a series of transactions pursuant to which Johnson & Johnson intends to acquire all the outstanding shares of the company, including a separate transaction whereby Johnson & Johnson will acquire the shares of the company held by CIC Corporation, the ownership vehicle of the company's founder, Dr. Yoshinori Shirono.
J&J said thetransaction will be a “springboard to build Johnson & Johnson Consumer's connected commerce capabilities by leveraging one of the largest customer relationship management databases for direct-to-consumer skincare in Japan.”
The deal will also provide the opportunity to expand and improve retail presence through Johnson & Johnson's Consumer capabilities and well-established distribution networks.
The tender offer is expected to close in the first quarter of 2019.