COSMETIC NEWS - HPCi Media

INSIDE THIS ISSUE

BUSINESSBortua-Zachem to producenon-allergenic cosmeticspage 3

ASIA FOCUSMandom Indonesia to boostproduction capacity by 50%page 4

INTERVIEWJohn Dick, Director of StoreOperations, Planet Beautypage 5

SUPPLIERSEndocrine disruptors mayaffect fertility, says new studypage 7

RETAILAS Watson does retail 360 forcustomers in Asia and Europepage 8

PRODUCTStradivarius launches its ownrange of colour cosmeticspage 9

SPOTLIGHTNestlé to expand personal carewith Galderma acquisition page 12

1 • CosmeticNews Weekly No602/June 2 2014 • www.cosmeticsbusiness.com

No 602 / June 2 2014 www.cosmeticsbusiness.com

COSMETICNEWSWEEKLY

Taking a proactivestance on biodiversityIngredients supplier Symrise recently

announced that it was entering into apartnership with the Global Nature

Fund and the Union for Ethical BioTrade(UEBT) to help further its biodiversity goals.This includes the sustainable sourcing ofraw materials and raising awareness amongits own employees about the issue. Thecompany sees it as a policy that will notonly help the planet but will also help toensure its own long-term viability.

Also announcing its commitment tobiodiversity was French flavour andfragrance company Firmenich Grasse,which recently attained membership ofUEBT. Following another, similar line arecompanies and researchers who are lookingfor ways to produce ingredients that aremore environmentally friendly – such as theEU-funded OPTIBIOCAT project which isresearching the use of esterase-basedbiocatalysts as a more eco-friendly way ofproducing cosmetics.

Respecting biodiversity is something weall say we support – both consumers andsuppliers alike. However, according toUEBT’s 2014 Biodiversity Barometer, whilethe vast majority of consumers (87%) wantcompanies to adopt sourcing policies thatrespect biodiversity only 27% of beautyand personal care companies mentionbiodiversity on their websites or in theircorporate responsibility reports.

Interestingly, according to the surveyconducted by UEBT (the organisationsurveyed consumers in seven countries in2014, combining the results with itsprevious data for the report), awareness of

biodiversity issues is higher in countrieslike Brazil, Colombia, Vietnam and Chinathan it is in the more highly developedeconomies of France, Germany and theUK. And, while the majority of consumersin China and Brazil believe sourcingpolicies that respect biodiversity should beessential for companies, only around 34%of consumers in France, Germany and theUK support that view. Those that do tendto be the ones that read product labelsbefore buying a product.

But pressure to recognise theimportance of maintaining the world’sbiodiversity is growing. In April the EUadopted legislation on access to geneticresources and fair and equitable sharing ofbenefits resulting from their utilisation (theAccess and Benefit Sharing Regulation) inline with its commitment it made in 2010under the Convention on BiologicalDiversity (CBD), and paving the way for itto ratify the Nagoya Protocol. The NagoyaProtocol applies to genetic resources thatare covered by the CBD.

“This will help ensure that biodiversity is sustainably used, createtransparent rules for EU researchers andcompanies utilising genetic resources,and contribute to the sharing of benefitswith the providers of those resources,”said EU Environment Commissioner Janez Potočnik.

Such moves may encourage thosebrands who have been lagging behind inthe biodiversity debate to step forward andshow their commitment.

Kathleen Armstrong

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CosmeticNews Weekly

Acting EditorKathleen Armstrong+44 20 7193 8184

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ReporterGeorgia Seago

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Correspondents:Argentina Muireann Prendergast

Australia & New Zealand Sarah de CastroBrazil Sueli Ortega

Canada Marjo JohneChina Keith Crane

France Patricia Mansfield-DevineGermany Annie KruseIndia Chitra GopalakItaly Corinne BlanchéJapan David Kilburn

Russia Eugene GerdenSouth Africa Bambina Wise

Spain Lola GavarrónUK Imogen Matthews

US - East Coast Laura KlepackiUS - West Coast Kavita Daswani

Travel Retail Kevin Rozario

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Luxury travel retailer DFS has appointedAriel Gentzbourger as Senior VicePresident, General MerchandisingManager of Beauty. Gentzbourger replacesLinda Allario who retired in April after 18years with the company. Gentzbourger willreport to DFS President GlobalMerchandising Harold Brooks. Andre deBausset, Vice President Cosmetics, JoffreyChartier, Vice President BeautyOperations, and Jeffrey Davis, Director ofFragrances, will report to her.

Gentzbourger’s previous experienceincludes 15 years with Shiseido, mostrecently as Senior Vice President, ShiseidoEurope. She also held senior roles withKenzo Parfums, with Orlane Cosmétiquesand with DFS in Los Angeles.

US trade association, the Personal CareProducts Council, has announced thatBeth Lange PhD will become theorganisation’s Executive Vice President forScience and Chief Scientist, effective 1July. Lange replaces Halyna Breslawecwho officially retired on 30 April. In hernew role, Lange will oversee the Council’sscientific programmes, technicalcommittees and publications, and willserve as the industry scientific liaison forseveral domestic and internationalorganisations.

“Beth’s scientific credentials andimpressive industry background makeher uniquely qualified to lead ourscientific programmes,” said LezleeWestine, Council President and CEO. “Weare thrilled to have her join ourdistinguished team of scientific experts.She brings to the Council a wealth ofknowledge and expertise as well asproven leadership within our industry.”

Global nutrition company Xango, acreator of mangosteen-based wellnessproducts, has announced that SeniorVice President Beverly Hollister hasjoined its Board of Directors. With thisappointment, Hollister will expand herwork with Xango’s founders to advance avision of wellness and partnership withthe company’s employees andindependent distributors.

“We’re very excited to welcome Beverlyto the Board, said Xango founder,Chairman and CEO Aaron Garrity. “Through

her servant-leadership and example,Beverly inspires everyone at Xango todream a little bigger, try a little harder, carea little more and believe in their ownabilities to accomplish their goals.”

Dirk Mampe has been appointed VicePresident of the BASF Personal CareEurope business unit, assumingleadership of regional businessmanagement for personal carespecialties in Europe. Mampe will beresponsible for steering marketing,product management and sales activitiesfor the region. He succeeds ThomasSchröder, who has been named SeniorVice President of the regional Nutrition& Health Europe business unit withinthe Nutrition & Health business division.

L’Oréal’s Global Chief Marketing OfficerMarc Speichert has left the cosmeticsgiant to begin a role at Google in thesearch engine’s Global Client and AgencySolutions division which aims toencourage marketers to advertise onGoogle platforms including YouTube,search and Google+. Speichert will reportto President, Brand Solutions Kirk Perry,who left his role as President of FamilyCare at P&G late last year to join Google.

BRAND AMBASSADORS

British TV presenter and model AlexaChung has replaced model and socialitePoppy Delevingne as the new face ofNails inc. The nail brand made theannouncement via its Instagram accountwith a series of preview images from thecollection.

“Fashion is at the heart of Nails inc;we’re well known for colour, innovation andamazing fashion effects for nails. There’s areal synergy with our brand and Alexa –collaborating was a natural evolution ofour relationship with her,” said Thea Green,Nails inc founder and MD.

Supermodel Gisele Bündchen has beenannounced as the face of Chanel’sclassic No5 perfume, following in thefootsteps of actress Nicole Kidman andmodel Kate Moss. A campaign featuringthe Brazilian model will be directed byAustralian filmmaker Baz Luhrmann.

HPCimedia

Business


Beraca revenue up 25%Brazilian sustainable actives companyBeraca achieved a turnover of Brazilianreal R$172m last year, a 25% increasecompared to 2012. The results indicate agrowth in all areas, with Health &Personal Care, which makes up around afifth of company revenue, rising 38%. Bythe end of the year, the company said itexpects to have surpassed last year’snumbers by 7.5%.

“In the last ten years, the companyrecorded a compound growth rate of14%,” said CFO Wellington Rodgério. “It isalso important to highlight that annuallyabout 3% of revenues are invested ininnovation and research and theproducts resulting from this process haveensured a compound rate of growth of17%, which consolidates the Beraca as acompany focused on innovation.”

Currently, Beraca has seven units inBrazil and two international subsidiaries –in New Jersey, US and Paris, France. Thecompany specialises in sustainableactives obtained from Brazil’s biodiverseenvironment.

Filorga plans Spanish subsidiaryJust a few months after buyingLaboratoires SVR, French medi-cosmeticcompany Laboratoires Filorga is continuing its global expansion with theestablishment of a Spanish subsidiary.The new subsidiary will begin the commercialisation of the two brands inSpain from 1 September.

“Spain is a strategic market fordermo-cosmetic brands wanting to havea relevant presence in the sector,” saidDidier Tabary, President of Filorga andSVR. “Filorga will invest 20% of itsturnover in R&D and this will be the keyto continue with its 30% annual increaseof the last six years. 2013 turnover wasu33m and u45m is expected for 2014.”

Spain ranks third among Filorga’s5,500 points of sale around the world,after France and Russia, said AndreaSoto, Filorga and SRV Country Managerfor Spain, adding: “Filorga currently has apresence in 50 countries worldwide. In2014 we plan to enter new markets inCanada, the US and Latin America as wellas opening subsidiaries in Tunisia,Morocco, Italy, Portugal and Spain.”

Symrise partners for biodiversitySymrise has entered into a strategic part-nership with the Global Nature Fund andthe Union for Ethical BioTrade to advancethe implementation of the ingredientmanufacturer’s biodiversity goals.

Symrise’s ‘biodiversity concept’ hasthree pillars: the sustainable sourcing ofnatural raw materials; eco-consciousdesign of Symrise’s sites; and raisingawareness of preserving biodiversity amongSymrise employees. The company said the

strategy will also help it take advantage ofentrepreneurial opportunities.

“Biological diversity helps secure thelong-term success of the company, as wedepend on natural raw materials,” said DrFelix Schuppert, Head of SustainablePurchasing and member of the SymriseSustainability Board. “Intact ecosystemsand the diversity of nature are an irreplaceable source of raw materials andinspiration for flavours, fragrances, cosmetic and functional ingredients.”

Boruta-Zachem to producenon-allergenic cosmetics

Polish manufacturer Boruta-Zachem is planning to launch production of non-allergenic cosmetics in Bydgoszcz, in the country’s north. The new productslaunched by the firm will include soaps made with the use of canola oil, Pawel

Klocek, a spokesperson for Boruta-Zachem, told local daily Gazeta Wyborcza. TheKujawsko-Pomorskie region, where the new plant will be launched, is also home tonumerous canola industry players. This is expected to ensure that sufficient supply issecured for Boruta-Zachem’s manufacturing project.

“One of the main advantages of soap made of canola oil is its completebiodegradability. Soaps made with the use of chemical surfactants … could be ahazard to the environment,” Klocek said.

The project will be co-financed by funds obtained from the European Union. APolish zloty PLN19m (US$6.3m) grant was provided to the company for itsinvestment. In the second quarter of 2014, Boruta-Zachem is to hire at least 12 newemployees to expand its workforce of 70. The firm’s new products are expected toappear on store shelves in late 2015, according to Klocek. Boruta-Zachem’s productportfolio consists of cosmetics and chemical products.

Jaroslaw Adamowski, Warsaw

Unilever expands ops in Brazil

Unilever will invest Brazilian real R$3bn in its operations in Brazil during 2014.One third of this will be designated to its structure in Brazil, including its tenthmanufacturing complex, which will be located in Aguaí in São Paulo state. The

other R$2bn will be allocated to marketing along with the renewal of 70% of itsportfolio. This will include entry into the premium segment with the launch of fourproduct lines for Dove, Dove Men+Care and Axe. On a plot of around 1 million squaremetres, the new factory in Aguaí factory will produce toiletries, such as Dove soap andshampoos TRESemme and Seda, as well as a range of household products such aslaundry detergent and surface cleaners. The plant, which is scheduled to open inSeptember or October, will begin full operation in January 2015.

Unilever’s growth in Brazil is almost three times larger than its expansion globally,according to Fernando Fernandes, President of Unilever in Brazil. It earned R$15.3bnin the country last year, an increase of 12.5% over the previous year, when it had salesof R$13.6bn.

Sueli Ortega, São Paulo

Business


specific (US) markets,” said Promise founderProfessor Philippe Jourdan in a report.

Promise looked at make-up brands soldin selective channels, including own-nameretail networks such as Yves Rocher, TheBody Shop and Kiko Cosmetics; perfumerychains such as Sephora, Marionnaud,Nocibé and Douglas; and department storesand the duty free market. Overall, said theanalyst, for selective make-up brands, imageis a compendium of three factors: the qualityof the actual product; claims such as ‘usedby xxx celebrity’ or ‘used by xxx make-upartist’; and being known as an iconic brand.

Research explores eco biocatalystsA four-year project funded by the EuropeanUnion (EU) is working to find ways to replacechemical techniques currently used for theproduction of cosmetics with energy-efficient and eco-friendly biocatalysts. TheOPTIBIOCAT (optimised esterasebiocatalysts for cost-effective industrialproduction) project will bring together 16academic and corporate partners from Italy,France, Germany, Greece, Portugal, Sweden,the Netherlands and Finland including Greeknatural cosmetics producer Korres.

The novel biocatalysts will be based onferuloyl acid esterases (FAEs) and glucuronylesterases (GEs) for the production ofphenolic fatty- and sugar-esters withantioxidant activity. They will also be testedfor potential in other products withimproved biological activity.

“The environmental footprint for theproduction of the identified antioxidants willbe significantly reduced with our innovativebiocatalysts. In addition, unwanted sidereactions will be minimised, resulting inhighly pure products that will allow forimproved product quality and reducedprocess costs,” said Vincenza Faraco fromthe University of Naples, who leads theOPTIBIOCAT consortium. The project isbacked by around u7m of funding under theEU’s Seventh Framework Programme (FP7).

China Beauty Expo a successOrganisers of the China Beauty Expo (CBE),held in Shanghai in May, have hailed it as asuccess. The show, which spanned127,000sqm of exhibition area in 11 halls,attracted some 252,200 visitors from 80countries and regions, and hosted 6,433booths (up 12.5% from 2013) and 1,837

Different strategies needed foreach regional premium market Premium make-up brands need to targettheir strategies at according to geographicalregion, says French market research firmPromise Consulting. It has outlined theprincipal leverage factors of premium make-up brands in a new series of conferences.The firm noted that every brand has adifferent history and that this appears toaffect the geographical region in whichdifferent brands perform best.

Some brands began as fashion brands,

and these are the market leaders inEurope, with haute couture brands such asDior doing particularly well in France. Somearose from a skin care background, andthese do best in Asia, along with localbrands. Others are pure make-up players,such as M.A.C, which does best in the US.US consumers also value skin care-derivedmake-up brands such as Clinique andEstée Lauder.

“Our findings show that the samestrategy cannot be applied equally tomature (mainly Europe), emerging (Asia) or

ASIA FOCUS

Mandom Indonesia to boostproduction capacity by 50%

Mandom Indonesia, a subsidiary of Japanese cosmetics maker Mandom, plansto expand its production capacity by 50% in 2015 as it anticipates greaterdemand from the rising Indonesian middle class. The company will move its

main factory in central Jakarta to a new location on the outskirts of Jakarta with the shiftin production completed by January 2015. The new factory will boost the company’sannual production capacity to around 1.35 billion units from the current 900 million.

According to the firm, sales of its three main product categories – hair care, skin careand perfume – all grew by 30%-40% in 2013. The company mainly targets middle classmen and women with products priced at Indonesian rupiah IDR10,000 to 50,000. Toexpand sales in rural areas, Mandom said it will add about 30 new distribution centres this year in the eastern part of Indonesia. It currently has 113 distribution centres, 70% of which are located outside the main island of Java.

The company is targeting consolidated revenue of IDR3 trillion for 2016 – 48% higher than in 2013.

David Kilburn, Tokyo

India enacts animal testing law

India has officially enacted into law a ban on animal testing for cosmetics. The newrule, published in the Gazette of India as an addition to the Drugs and CosmeticsRules, 1945, reads: “148-C. Prohibition of testing of cosmetics on animals – No

person shall use any animal for testing of cosmetics.” The ban follows the removal ofanimal tests from the cosmetics testing standards by the PCD 19 Cosmetics SectionalCommittee of the Bureau of Indian Standards last year.

“This landmark law will ensure not only that the lives of countless animals are sparedbut also that only human-relevant, modern, non-animal testing methods are used toassess the safety of cosmetics products in the country,” said Dr Chaitanya Koduri,Science Policy Advisor at People for the Ethical Treatment of Animals (PETA) India. Theorganisation is now campaigning for a further amendment to the Drugs and CosmeticsRules, banning the import of cosmetics that have been tested on animals anywhere inthe world. “Such a move would bring India in line with the European Union and Israel,nations that have already banned the sale of animal-tested cosmetics,” Koduri added.

Business


companies (up 10.9% from 2013). It alsosaw media coverage on over 80 local andinternational platforms over TV, online andprint. Organisers attributed the show’ssuccess to the fast growth of the beautymarket in the Asia-Pacific region, withChina at the centre of this growth.

“Over two decades of existence, CBEhas strengthened its position as a majoractor in the booming Chinese economy,”the organisers said.

Dashboard helps beauty brandbuild international strategyUK beauty brand Charlotte Tilbury has usedan e-commerce intelligence platform tohelp it identify new international marketsand put together a global growth strategy.The brand used the Ometria web-baseddashboard to analyse its online customerinteraction data in order to help it identifygaps and opportunities. The brand islaunching into the US later this year.

“Although we had always planned toexpand into other markets, Ometriademonstrated just how much demandthere was for the brand overseas,specifically the US – our keenestaudience,” said Rachel Jones, head of e-commerce at Charlotte Tilbury.

In addition, the brand is looking east.“There are places in Asia where we haveactivated any PR or marketing strategy butwhich the analysis suggests are among ourtop five online audiences,” Jones added.

Amway and Yale extend skinpigmentation research agreementAmway has extended its researchpartnership with Yale University to 2016,adding three years to its originalagreement. Amway said this will enable theresearchers to further advance theirunderstanding of the molecular biologyinvolved in skin pigmentation, specificallyhyperpigmented spots, ultimately leadingto the development of more effective,more targeted treatments, particularly withAmway’s Artistry Ideal Radiance Collection.

“We’re elevating our scientificcredibility with forward steps that boostskin care technologies in Artistrybrightening products and, ultimately,improve the lives of women everywhere,”said Catherine Ehrenberger, Amway VicePresident of Research & Development.

Planet Beauty, a privately owned chain of beauty boutiques with locationsaround California, will in June open its 36th location – a flagship store for theLos Angeles area in Beverly Hills. John Dick, the Scottish-born Director of

Store Operations, talks to Cosmetic News Weekly about how the retailer hasbecome a force in the beauty business since the first store opened in 1992.

How is Planet Beauty different from other beauty retailers?Knowing customers by name and really knowing their needs differentiates us from thenational beauty stores, who seldom pay attention to this. [And] our product selection,employee retention and education separates us from the local traditional mom andpop beauty store. Our localised support of the communities in which we reside is alsoa big point of differentiation for us. We strongly support our communities via marketspecific charitable efforts, supporting local education establishments and efforts.

Can you talk about your new store opening in Beverly Hills? We have been looking at Beverly Hills for a long time. We have finally found a perfectlocation on South Beverly Drive, between Anthropologie and the very popularCoffee Bean. It’s on a very busy street and it will have an outstanding selection ofthe hottest brands.

What are some of your top-selling brands across all categories?In skin care our top-selling brands are Perricone MD, Kate Somerville, Rodial andDermalogica. In cosmetics, Jane Iredale, Anastasia, Too Faced and GorgeousCosmetics and in hair Rene Furterer, Alterna, Pureology, Enjoy, Colorproof and Ava.

How do you select the lines you will carry?We have a team of buyers that evaluates each brand carefully. We have to be veryfocused on choosing the best for our customer. Our customers give us feedback onwhat they like and want to see. We follow trends closely – especially with socialmedia – you have to be ready to deliver when something is hot.

How important is social media to you in reaching your customer?Very important. We are always talking to our customer, whether it’s at a Facebook partyor showing a new make-up look on Instagram or emailing upcoming in-store eventsand promotions.

What other expansion plans are in the works?Our expansion has been moving at a steady rate over the last few years. Beverly Hillswill be our 36th store and we will continue to add to that number. We are always onthe lookout for new exciting spaces. looking at West Hollywood, more in West LosAngeles, Orange County and northern California. Our goal is to have 75 quality storesin California.

What should a beauty retailer should do to stay competitive?You always have to be on the lookout for the best in terms of product selection. Yourstores have to stay exciting and interesting visually for the consumer, and youremployees have to know what they are talking about.

Kavita Daswani, Los Angeles

A personal beauty experience

INTERVIEW

John Dick, Director of Store Operations, Planet Beauty

Suppliers


PACKAGING

Clondalkin rebrands in UKInternational packaging producerClondalkin Group has rebranded its twoUK based consumer packaging businessin order to bring them more clearlyunder the Clondalkin Group brand.Paper sack manufacturer CB Packaginghas been rebranded as ClondalkinConsumer Bangor while branded paperand polythene bag manufacturer APBurt is now known as ClondalkinConsumer Bristol.

Malcolm Farnan, Sales and MarketingDirector for Clondalkin Group, said: “Therebranding programme is designed toensure that the market has a clear understanding of the Group's internation-al presence and capabilities across theentire spread of key markets in which we operate.”

Unilever takes diamond awardUnilever (United Kingdom) took the top

prize – the Diamond Award – at thisyear’s DuPont Awards for PackagingInnovation. The company won for its lineof compressed deodorants, recognisedby the international panel of judges forexcellence in all three award criteria:technological advancement, responsiblepackaging and enhanced user experience.

“Unilever’s new containers carry thesame amount of product in a package halfthe size of the original and significantlycut transportation costs as more units fiton a pallet into each truck.” DuPont said.

This year’s awards attracted 200entries from 31 countries and were presented on 15 May.

Nivea chooses RPCBeiersdorf has chosen RPC Kutenholz tosupply its new 200ml Nivea sun lotionbottle. RPC said the bottle’s moderndesign allows for ergonomic handling aswell as a firm grip for use on the beach.The metallic blue top-down bottle alsomaximises the amount of lotion that can

be dispensed, reducing waste, and theclosure allows the consumer to easilycontrol the volume of lotion being used,the company added.

INGREDIENTS

New naturals from Univar US chemicals supplier Univar haslaunched eight new natural formulations.First, for the skin, Masquerade Lotion isclaimed to reduce fine lines and leave theskin feeling powdery. Its active ingredientsinclude Keltrol CG SFT, a form of xanthangum; elastomer powder Dow Corning EP9801 Hydro Cosmetic Powder; andXiameter PMX-0245 Cyclopentasiloxanefor a silky feel. Hydrating Gel Cream con-tains Purasal NH/COS to soothe dry skin;Aquamax HM, a moisturising ingredient;and Dow Corning’s RM 2051 thickeningagent. Xzit Out Facial Wash includesKeltrol CG-SFT and Kelcogel CG-LA,which thicken and suspend at low pH;Novacyl Salicyclic Acid USP BR; and Grant

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Suppliers


Industries Gransolv DMI, a non-irritating,sugar based polar solvent. QU Primer is aclear serum that incorporates DowCorning 9045 Silicone Elastomer Blendand Xiameter PMX-0245Cyclopentasiloxane.

Focusing on the lips is Hint of GrapeLip Gloss, which aims to provide glosswith transfer resistance using CalumetVersagel ME 2000; Dow Corning PH 1560Glossy Fluid for a wet look; andSunchemical Intenza Zinzolin colour. Alsofor the lips is Red Hot Lip Gloss, whichuses Calumet Versagel ME 2000, DowCorning PH 1560 Glossy Fluid; andSunchemical Intenza Red Hot.

Curl-in Conditioner is a leave-onconditioner that provides curl retentionand memory. It uses Dow Corning CE7080 Smart Style; Xiameter MEM-0949Emulsion; and Dow Corning EL 7040Hydro Elastomer Blend. Finally, also forthe hair, Free-of Shampoo is a sulphate-free shampoo that uses Dow Corning CE1874 Microemulsion, a water-dispersibleconditioning agent; Purac Pursal Mild,EcoCert-approved sodium lactate andsodium gluconate; and Stepan Alpha-Step PC 48 high-foam surfactant.

Grant to support development ofAustralian extracts for cosmeticsAustralia based Essential Oils of Tasmania(EOT), a subsidiary of Atlas Pearls andPerfumes, has received a AUD$1,134,208grant from Commercialisation Australia tosupport the commercialisation of itsproprietary extraction technology andthe production of fragrance ingredientsfrom Australian indigenous botanicalsand marine (pearls and seaweed) andfungal products. The company said itsnew manufacturing facility in Tasmaniawill be Australia’s first supercritical fluidextraction plant using CO2 for theextraction of ingredients and bioactivecompounds.

The project will also create demand foractive ingredients obtained from pearlshells, according to EOT, and generatedemand for other Australian cosmetic andperfume ingredients, as well as creatingjobs in Tasmania. Atlas operates pearlfarms across the Indonesian archipelago,including Bali, Flores and West Papua. In2013 it acquired EOT and is currently

Endocrine disruptors shown toaffect fertility, says new study

Endocrine-disrupting chemicals interfere with human sperm function to a levelwhere it affects fertility, according to researchers at the Center of AdvancedEuropean Studies and Research in Bonn, Germany. The team, working with the

University Department of Growth and Reproduction at Rigshospitalet, Copenhagen,Denmark, said that endocrine disruptors may be contributing to widespread fertilityproblems in the West in a way that has not previously been recognised.

Around 100 chemicals were tested in the study and around a third of themshowed adverse reactions, including 4-methylbenzylidene camphor (4-MBC), which isused in sunscreens; the antibacterial agent triclosan, used in a wide variety of cosmetics products; and di-n-butyl phthalate (DnBP), a phthalate ester widely used incosmetics and perfumes.

The substances were shown to raise the calcium levels of sperm, which alters theirmotility, possibly causing them to swim in the wrong way at the wrong time. Calciumalso makes sperm less sensitive to female hormones such as progesterone andprostaglandins which are exuded by cells surrounding the ova in order to help thesperm to break through the coating around the egg.

“Our study provides scientific evidence to assist forming international rules andpractices,” said Timo Strünker, who led the study.

Penreco launches Versagel MG

US chemicals supplier Penreco (Calumet Specialty Products Partners) haslaunched Versagel MG, a new line in its Versagel series. Versagels are siliconealternatives for personal care products, which the firm says give formulations a

silky after-feel. Versagel MG comes in three grades of viscosity – 500T, 750T and 1600T –all of which are transparent, odourless, hydrophobic, thermally reversible and do notdiscolour with age.

“Versagels are easier and safer to formulate with than gels that use metalstearates or fumed silica,” the firm said. “They provide fragrance retention in skincare products and furnish waterproofing properties to sunscreen products.”

The firm produces a range of Versagels: the M series is for use in personal careproducts; the P series is for use in cosmetic, pharmaceutical and personal careapplications; the R series is designed for personal care products; and the S seriesis for cosmetic formulations.

Patricia Mansfield-Devine, Rennes

developing a range of proprietary products including pearl powder, pearlproteins, pearl volatiles and fire tree forthe luxury market.

Shin-Etsu adds tough filmShin-Etsu Silicones of America (Shin-EtsuChemical Co) chose NYSCC Suppliers’Day to introduce its NBN-30-ID cosmeticsilicone-modified film formers. The company said the new products offerbenefits that include tough film

formation, low tackiness, flexibility, goodspinnability and oil repellency.

“Ultimately, Shin-Etsu’s new generationof NBN-30-ID silicone modified film formers produce a tough, long-lasting filmthat delivers optimal transfer resistance,”said North American Marketing ManagerEric Bishop. “This represents a uniquesolution for cosmetic formulators seekingdiversity to meet the rapid demand ofboth mass and prestige consumers in thepersonal care market.”

Retail


Estée Lauder’s new travel retailconcept to land this summerThe Estée Lauder Companies and WorldDuty Free Group (WDFG) are to open aflagship Beauty Boutique concept atDetroit Metropolitan Airport, inpartnership with the Wayne CountyAirport Authority, according to a reportin the Moodie Report.

“This trinity-approach project marksanother milestone for WDFG as it will bethe first beauty store concept of its

kind, in travel retail,” WDFG Global Headof Beauty Antonin Carreau was reportedas saying. “The powerful internationalbrands of the Estée Lauder Companieswill enhance the exceptional commercialoffer at the airport and will appeal to ourlocal and international clientele as we strive to exceed customerexpectations and enhance theirshopping experience.”

The space will showcase prestigebeauty products and fragrances, as well

as beauty advisors and other servicestailored to the travelling consumer. Inaddition, it will have an entertainmentlounge area for activities such as globalproduct launches, make-updemonstrations and special mediaevents. It is expected to open this summer.

NARS cosmetics opens flagshipstores in east and west USNARS Cosmetics has recentlyannounced the opening of two newflagship US stores in New York and LasVegas. The 1,200sqft Las Vegas retailspace is the brand’s sixth freestandingboutique and is located at the ForumShops at Caesars Palace, while in NewYork the new 700sqft store is located onMadison Avenue. Both boutiquesfeatures sharp lines and modernamenities with a sleek design conceivedby founder and Creative DirectorFrançois Nars, in conjunction with Fabien Baron of New York design firmBaron & Baron.

Features at the Las Vegas storeinclude a technique-focused sales areathat houses a curated productcollection, with NARS artists andinteractive digital touchscreens forcustomers to learn signature complexionand cheek techniques. Customers willalso have the chance to “spin to win” adeluxe sample on the digital slotmachine which has been speciallycreated for this boutique.

In addition, the New York spacehouses a floor-to-ceiling glass cubewhich acts as the centrepiece of thespace and can be used for installationsand projections.

M.A.C signs Union Square leaseM.A.C Cosmetics has signed a 15-yearlease for a portion of the ground floor inpremises fronting on New York’s UnionSquare South, according to New York'sThe Real Deal. The premises will comprise1,600sqft on the ground floor and asmall piece of mezzanine space at 853Broadway, which is owned by The FeilOrganization.

The reportedly record-breakingrental deal was negotiated for M.A.C byretail real estate company RKF.

Lush named top of the shops

UK cosmetics retailer Lush has come out top in a survey of 100 shopsconducted by British consumer watchdog Which?. The organisation surveyed12,504 members of the general public about the shops they had visited in the

past six months with regard to their satisfaction with the shop their likelihood ofrecommending it to a friend. Customers particularly like the personal service aspectof shopping at Lush. The scores were based on satisfaction with the shop in areasincluding products, customer service and store environment and their likelihood torecommend to a friend. Lush returned to number one ranking with a customersatisfaction score of 83% (it came first in 2012 but slipped to second place last year),while customers also recognised the brand’s environmental ethos and continueddedication to fighting animal testing. Other UK cosmetics retailers scoring high in thetable were The Perfume Shop, which ranked 11, and The Body Shop, which came in atnumber 20. Superdrug made the list at 22, while Boots ranked a middling 51.

Which? Executive Director Richard Lloyd said: “Those stores giving people thecare and attention they want have happy customers who return.”

AS Watson does retail 360 for customers in Asia and Europe

A S Watson Group (ASW) is speeding up its digital and customer relationshipmanagement strategy to further drive differentiation in its health andbeauty retail network across Asia and Europe.

In mainland China, the Group has its own mobile app and website with e-commerce, as well as flagship stores on Tmall, Jingdong and Amazon. In HongKong, it launched a mobile app e-store, iWatson, earlier this year and last month itlaunched a mobile-enabled e-commerce website in Taiwan. In the UK, where ASWowned Superdrug operates over 800 stores, the Group plans to relaunchSuperdrug’s e-store in the summer in order to provide an enhanced shoppingexperience for customers. It is also planning e-store upgrades for The PerfumeShop in the UK and Kruidvat in the Netherlands.

“The key to ASW’s Customer 360 strategy is to be customer-centric,” saidGroup Managing Director Dominic Lai. “We have an average of 27 millioncustomers shopping with ASW every week. In addition to in-store experience, wehave embraced all aspects of customer touch points, from member experience tosocial media, mobile apps and e-commerce to enable us to serve our customers360 degrees.”

Products


Sue Phillips does DIY fragranceIn September, US perfumer Sue Phillips,who opened bespoke fragrance boutiqueThe Scentsorium in New York in February,will launch a fragrance kit consisting of12 blends and instructions for thosewho cannot travel to the bricks and mortar store.

It will cost around US$175 and thereis a possibility it will be sold via homeshopping channels as well as specialitystores, says the firm.

The Scentsorium, in New York’sTriBeca district of Manhattan, can bevisited by appointment only, and a custom fragrance costs $350 for oneperson, or $50 per person for membersof a group for the formula, plus the costof the juice itself – $80 for 20ml or $125for 30ml.

Clients undertake a lifestyle person-ality quiz to work out which fragrancefamilies they like best, then they choosea shortlist of three or four from thefirm’s 18 fragrance blends, which arethen blended together to create abespoke fragrance. Clients’ details arethen kept on file so the fragrance canbe recreated at a future date.

Balenciaga reflects on fragranceCouture house Balenciaga (Kering) islaunching Paris L’Edition Reflets, aL’Edition Reflets version of its original fra-grance Balenciaga Paris (2008). The newversion is a limited edition,billed as a‘violet chypre’ by the company, and hashead notes of pink pepper, violet leafand black pepper; a heart note of violet;and base notes of patchouli, Texancedar and vetiver.

The bottle is a sophisticated round-shouldered hexagon with a round crystalcap and a gold collar, and the glass hasbeen given a soft, reflective finish. Thefragrance comes as a 75ml eau de par-fum costing £79 from selective outletssuch as Harrods and John Lewis. Theoriginal Balenciaga Paris comes in thesame shape bottle, but with clear glass revealing the pale peach juice, and acraquelure stopper.

Alessandro takes Striplac mobileProfessional nail brand AlessandroInternational, which specialises in

Stradivarius shows its colours

Spanish ready-to-wear fashion brand Stradivarius (Inditex) is launching itsown colour cosmetics line this month. The products will be available in allthe firm’s stores and have low pricing of around u4-5 per item and packag-

ing in bright, acid colours.The line includes flavoured lip balms with flavours such as cherry, melon and

tutti-frutti; vibrant colour lip glosses; around 20 shades of nail polish; and hand-bag-sized perfumes. All the products are paraben-free.

Spanish model Sheila Márquez will be the face of the summer 2014 collectionand the products will be available in Stradivarius’s 230 stores across Europe fromthe beginning of June.

Stradivarius has been under the aegis of Spanish fashion conglomerateInditex – most famous for its Zara brand – since 1990 and is the third of the group’sstable to launch complementary products. Women’s fashion brand Bershka alreadyhas a separate beauty line, while Pull & Bear has launched a perfume. Inditex alsoowns Massimo Dutti, lingerie brand Oysho and accessories firm Uterqüe.

Fashion brands entering the beauty market is a growing trend, with otherEuropean labels including French brands Camaïeu, which launched a cosmetics linea few months ago, and Etam, which is due to launch a collection in the autumn.

Famille Mary three-step slim

French firm Famille Mary, which specialises in “products made from the hive”,has announced a new three-step weight loss programme based on royal jelly,acacia flower honey, propolis and pollen.

Step 1 is Elixir Détoxifiant de l’Apiculteur (Beekeeper’s Detoxifying Elixir,(u19.90 for 250ml), to be drunk diluted in warm water. It is based on French birchsap, which the firm claims helps with weight loss, along with propolis, acacia honey,lemon balm and pollen. Step 2 is nutriceutical capsules, MINCImel Jour et Nuit(Honeyslim Day and Night, u12.90 for 60), which are taken as a 30-day course. TheDay capsules contain acacia fibre, guarana and green coffee extract, while theNight capsules contain ingredients claimed to be ’fat-busting’ such as chicory,Maté tea extract, birch extract and propolis powder. Step 3, Abellie Gel MinceurFleur Royale Bio (u20.50 for 150ml), is meant to be massaged into areas that havecellulite. It contains seaweed, clay, royal jelly, propolis and caffeine.

The products are available from Famille Mary’s 25 stores in France, online fromits website or by mail order.


sculpting gels, is releasing StriplacMobile, a gel kit for use on holiday orwhile travelling.

It consists of an LED travel lamp thatplugs into a USB port on a PC or laptop,one 8ml bottle of Twin Coat, two sachetsof cleaning pads and a user instructionleaflet. It costs u84.95 and is about thesize and shape of a mobile phone.

The LED lamp features a watermarkdesign and hardens the Striplac in 60seconds, said the firm. It can be pluggedinto a computer or the rechargeable

battery also enables it to be used withouta cable. The firm has also released a mattifying top coat, Top Coat MattStriplac (u16.95 for 8ml), which can beused on top of any of the company’sother varnishes to create a matte effect.It requires the usual 60-second set underan LED lamp. Alessandro products areavailable from Sephora.

Cattier super-sizes for the familyFrom 1 June, French cosmetics brandCattier will begin offering its Moussant

Products


Familial foaming gel in one-litre pump bottles, doubling the current maximumsize of 500ml. The one-litre version willcost u15.95, as opposed to u9.99 for the500ml size.

“Moussant Familial in its 500ml format is one of the best sellers of thebrand,” a representative of the firm toldCosmetic News Weekly. “Cattier wanted to develop the one-litre formatto respond to the demands of the mar-ket and its consumers. Also, as it is aproduct designed for the whole family,

the one-litre format is particularly suitable.” The bottle has been createdby the same manufacturer and the pumplengthened to take account of the larger bottle.

The grapefruit-scented formulation ofMoussant Familial is soap-free, based onlactoserum extracted from yoghurt, forwhich the firm claims hydrating qualities,and also contains cornflower extract andvegetable derivatives such as copra(from coconuts) and betaine (usuallytaken from sugar beet). Extract of

saponaria – soapwort – is used as thefoaming agent and the product can beused on both hair and body.

Like all Cattier products, it will beavailable in the health food shop chain,including online stores.

Paul & Joe offers sweet treatsPaul & Joe Beauté is launching severalnew products for summer. The limitededition Ice Cream Parlour collection comprises creamy, candy coloured LipGloss and Triple Cheek Color in rainbowhues. Lip Gloss (£18) is sweetly scentedand delivers a high-shine, moisturisingfinish in three shades, while Triple CheekColor (£21) creates a pop of summerycolour in a silky texture with moisturisingingredients, available in three shades toinstantly brighten cheeks.

Also new is Smoothing Body Oil (£21),a sheer, lightweight oil that is said toabsorb quickly and doesn’t leave a greasyresidue. Its scent is a blend of citrus, mintand and floral notes. Ingredients includelavender oil, orange oil, organic jojoba oiland rosehip oil, all included to calm andsoothe the skin. The product comes in aspray pump bottle.

La Prairie harnesses mineralsLa Prairie is to launch Cellular MineralFace Exfoliator from June. According tothe brand, mineral exfoliation removesthe upper layers of dead skin cells, alongwith impurities and excess debris, toreveal healthier and more radiant skinand improve the clarity of the complexion over time.

Cellular Mineral Face Exfoliator uses“perfectly rounded” exfoliating beadsand a blend of quartz crystal, pure diamond and tourmaline powders to liftand remove pore-clogging debris. Rosacentifolia, along with glycerin, hematiteand scarce meteorite dust, is includedto leave skin feeling fresh and softlymoisturised.

The product is packaged in a whiteplastic tube with silver graphics and ashiny silver cap with band. The gel isapplied to a moist face, massaged in andrinsed, two or three times a week. It isrecommended by the brand that it isused as part of a La Prairie skin care routine. It is priced at £86.

Vespa gears up for scent duo

Fragrance brand Vespa, whose licence was won by Coty in February, is launch-ing a his and hers fragrance duo for summer. Vespa for Her was created byNicolas Beaulieu of International Flavors and Fragrances (IFF) and has head

notes of lemon sorbet, bergamot and ginger; heart notes of orange blossom,heliotrope and apple; and base notes of cedar, vanilla and white musk.

Vespa for Him was created by Juliette Karagueuzoglou of IFF and has head notesof grapefruit, juniper berries and violet; heart notes of pineapple, lavender and pinkpepper; and base notes of patchouli, suede and vetiver. Both fragrances are availableas fine fragrance and as ancillary products. The women’s comes as a 30ml eau de parfum (u13.95), 50ml edp (u17.95), 150ml deodorant (u7.95) and 200ml shower gel(u7.95). The male fragrance comes as a 30ml eau de toilette (u13.95), 50ml edt(u17.95), 75ml deodorant (u7.95) and 200ml shower gel (u7.95).

The fragrance will be sold in Argentina and also in eastern and western Europe,including in Italy, Spain, Hungary, the UK, Poland, Romania, the Czech Republic,Slovakia, Germany, Switzerland, France and the Benelux countries. Italy, Spain andHungary are the countries chosen for the initial roll-out.


VDL announces AmericanLifeguard Association project

LG Household & Health Care brand VDL (Violet Dream Luminous) has teamedup with the American Lifeguard Association (ALA) for a new summer make-uppackage in Korea, the VDL Lifeguard Collection. The premise is simple and

direct: just as the ALA sets the waterside safety rules, VDL provides the waterproofmake-up rules.

The collection includes 11 different products all designed to meet the challengeswater and sun pose in tandem for the face, eyes, nails and lips. For example, the VDLBeauty Metal Cushion Foundation SPF 50+ PA+++ offers whitening, anti-wrinkle and UVprotection in a triple-function long-lasting product. The results are similar to those of theskin’s own pigment cells. It goes on smoothly and covers skin blemishes completely.

VDL Lifeguard Collection comes with promotional offers: one supports thelaunch of its flagship Water Night Mascara, while another offers discounts for refillsfor VDL Metal Cushion Foundation.

David Kilburn, Tokyo

New media & marketing


L’Oréal promotes digital women

L ’Oréal USA is calling for nominations for the third annual Women in DigitalNext Generation Awards, which recognise women in the fields of digitalmarketing, technology and IT. The awards are given to three female-founded

companies that have developed innovative business solutions for meeting theneeds of the modern day consumer using technology ranging from e-commerce,mobile, customer acquisition and big data to wearables and 3D printing.

Last year’s winners included Sukhinder Singh Cassidy, the founder and CEO ofJoyus.com; Heather Marie, founder and CEO of 72Lux; and Kelsey Falter, founder and CEO of Poptip.

L’Oréal’s Women in Digital programme provides female entrepreneurs with theopportunity to launch and scale new technology that has potential to drive L’Oréalbrand innovation and impact the future of the beauty industry.

“We view the Women in Digital programme as a natural extension of L’Oréal’smission of ‘Beauty for All’ – our mission to bring beauty to all people – as theseyoung companies will empower and drive women to innovate and push theboundaries of knowledge to become leaders in the technology space,” said RachelWeiss, Vice President of Digital Innovation at L’Oréal USA and Chair of Women in Digital.

Nominations are open 21 May to 23 June. The L’Oréal Next Generation Awardswill take place in New York City in September 2014.

Kiko wins e-commerce gong

K iko Cosmetics (Percassi) has won top prize in the Netcomm E-CommerceAwards 2014, presented at the ninth edition of the Netcomm E-CommerceForum, organised by the Italy’s Netcomm e-commerce consortium. The

theme of this year’s award was ‘E-Commerce Without Borders’, taking into accountusability both in space and in places (the ability to access portals from all possibledevices) and with regard to local borders (global store imprint). The selection wasmade from more than 100 e-commerce websites displaying the Netcomm Seal.

The judges said they gave first prize to Kiko: “Because it’s the company thatbest represents, thanks to its past and present history, a borderless kind of e-commerce; by constantly striving towards internationalism, it began in theItalian territory and went on to conquer new markets; it represents a winningbusiness model that aims at an integrated growth of both traditional and onlineretail. It features a kind of e-commerce that is effective and consistent with thebrand’s image.”

Wella focuses on Americawith new Instagram account

Wella Professionals USA (P&G) has officially launched an Instagramaccount. The international brand already has a global account at@WellaHair but Wella USA has now brought a North America focus with

@WellaHairUSA. “We want to welcome you to the #WellaWorld and encourage youto follow us for all things beauty, colour, style, inspiration, trends and much muchmore. Feel free to spread the news and we hope you #LiveLoveWella as much aswe do,” the brand said, announcing the platform.

TOP TWEETS ON THE STREET

@incosmeticsin-cosmetics 2014 has been shortlistedfor the AEO Excellence Awards in theBest Trade Show category!http://goo.gl/cWxNjM

@LuxurySocietyWatch: A Little Lesson in Chanel ColorTheory http://ow.ly/x8rVv

@BeautyShortlist “Beauty is about wellness...that is myexperience” - Elle Macpherson.youtube.com/watch?v=RngMpDrnFw0

@CosmeticsTrends#Cosmetic Chemicals Market to Growat CAGR of about 2.7% During 2014-19:TechSci Research http://ow.ly/xhT3F

@NBR_MagazineSymrise Enters Into StrategicPartnership to Preserve Biodiversity:http://ow.ly/xhIWU @SymriseAG

@cosmetiks_ENLancome Introduces French Riviera forSummer 2014. http://goo.gl/ZCnDWP

@MobileMktrDailyMajor retailers are missing out onmobile revenuehttp://tinyurl.com/pre2wo6

@aestheticsgroupBAD response to drinkable sunscreenclaims http://bit.ly/Sshnds

@handbagcomBurberry is going to help us get skin likeCara Delevingnehttp://on.handbag.com/1nn4qiN

@normathirlwallLittle Mix show off self-designed make-up range in new campaignhttp://dailym.ai/1khISkG via @Femail

We track the latest beautynews in 140 characters

10-11 JUNECOSMETICS EUROPECONFERENCEVenue: Brussels, BelgiumEmail: cosmeticseurope2014@associationhq.comwww.cosmetics-europe-conference.org

10-12 JUNEHBA GLOBAL EXPOVenue: New York City, USEmail: [email protected]

10-12 JUNEWORLD PERFUMERYCONGRESSVenue: Deauville, FranceEmail: [email protected]

12-13 JUNEMAKEUP IN PARISVenue: Paris, FranceEmail: [email protected]

17-18 JUNECOSMETICS BUSINESSREGULATORY SUMMITVenue: Brussels, BelgiumEmail: [email protected]

1-2 JULYHAIR BIOLOGY WORKSHOPVenue: Hamburg, Germanywww.proderm-academy.com

9-10 JULYSUN PROTECTION & ANTI-AGEING SKIN CARECONFERENCE ASIAVenue: Hilton Hotel, SingaporeEmail: [email protected]

9-10 SEPTEMBERIN-COSMETICS BRASILVenue: São Paulo, Brazil Email: [email protected]

9-11 SEPTEMBERCOSMEETING & CREATIVEBEAUTY PARIS 2014Venue: Porte de Versailles, Paris Email: [email protected]

17-19 SEPTEMBERINTERCHARM UKRAINEVenue: IEC, Kiev, Ukrainewww.intercharm.kiev.ua/eng

23-24 SEPTEMBERMAKEUP IN NEW YORKVenue: CENTER548, New York Email: [email protected]

30 SEPTEMBER-1 OCTOBERPACKAGING INNOVATIONSLONDONVenue: London, UK Email: [email protected]

20-22 OCTOBERCOSME TOKYO Venue: Tokyo Big Sight, JapanEmail: [email protected] www.cosmetokyo.jp

22-25 OCTOBERINTERCHARM Venue: Exhibition CenterCrocus Expo, MoscowEmail: [email protected]

27-29 OCTOBERLUXE PACK MONACO Venue: Grimaldi Forumwww.luxepack.com

4-6 NOVEMBERIN-COSMETICS ASIA Venue: Bangkok, Thailandwww.in-cosmeticsasia.com

12-14 NOVEMBERCOSMOPROF ASIA Venue: Hong Kongwww.cosmoprof-asia.com


Looking ahead

SPOTLIGHT

Switzerland based Nestlé is to further develop its personalcare products following its planned acquisition of soleownership over Galderma, its joint venture with L’Oréal.

The European Commission cleared Nestlé to acquire solecontrol of Galderma on 5 May. Galderma manufactures, marketsand sells products including shampoos, soaps, bath, shower andskin care lines, noted a Commission statement. The groupconsists of Galderma Pharma (Switzerland) and GaldermaInternational (France).

The Commission said in its decision that it approvedNestlé’s move without condition and fast tracked itscompetition assessment under the EU’s merger regulation. TheCommission said it was not concerned this would hurt thesector’s competitiveness and reduce consumer choice because“there are only limited overlaps between the parties’ activities”.

Galderma has been jointly controlled (50/50) by Frenchcosmetics giant L’Oréal and Nestlé (which has also beeninvolved in cosmetics and personal care products for babies,children and pregnant women through its subsidiary Bübchen).

Nestlé’s Chairman Peter Brabeck-Letmathe sees thisacquisition as a way for the company to expand its range ofpersonal care products. In a joint statement, he said: “With thisproposed acquisition of 50% of Galderma, Nestlé will pursue itsstrategic development in nutrition, health and wellness byexpanding its activities to medical skin treatments.” Nestlé is tocreate a new business for its skin care activities: Nestlé SkinHealth SA. “Galderma will be the foundation of this entity whichwill be run by Galderma’s management,” he explained.

Bübchen will be merged into this new business, “which willprovide a sizeable platform for profitable growth”, according to aNestlé note. Nestlé Skin Health's products will include a range ofproducts for skin, hair and nails, medicated soaps or sunscreensand therapeutic skin care products.

“The establishment of Nestlé Skin Health will allow theemergence of a global leader that will leverage Galderma’s and Nestlé’s commercial operations throughout the world.Galderma’s scientific division, with laboratories located inFrance, Sweden, United States, Japan and Switzerland, willbecome part of Nestlé Skin Health and will actively collaboratewith Nestlé’s global R&D [research and development] network,”it noted.

It added that the Swiss giant would use the cash proceedsfrom this deal to launch a share buyback programme, mirroringpart of the strategy being adopted by L’Oréal’s foundingBettencourt-Meyers family through the deal. The buyback will befinanced partially through Nestlé's acquisition of Galderma.

Reference documents assessing the deal, passed to CosmeticNews Weekly by L’Oréal, argued that it was “a very positivestrategic move for L’Oréal, its employees and its shareholders”.

Kitty So and Keith Nuthall, Brussels

Nestlé’s Galderma strategy

Documents

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