South Korean beauty giant, Amorepacific, has acquired a 100 percent stake in high-end skincare brand Tata Harper’s parent Tata’s Natural Alchemy to further increase its influence in North America.
To fund the acquisition, Amorepacific has completed a US$125 million capital increase, the company announced today.
The deal, set to be completed in this year’s fourth quarter, is expected to further strengthen Amorepacific’s presence in the North American market, which saw a more than 66 per cent year-on-year increase in sales in the second quarter of this year driven by the strong performance of Laneige, Sulwhasoo and Innisfree.
“We expect Tata Harper will be able to significantly expand its footprint in the Western and Asian markets,” said Jinpyo Lee, chief strategy officer at Amorepacific Group.
Founded in 2010 by Tata and Henry Harper, the US beauty brand is known for using “naturally derived ingredients and adhering to its core principle of clean beauty in everything from product development to packaging”. Its products are sold across online channels such as Net-A-Porter and Cult Beauty, and about 800 offline stores, including Sephora and Neiman Marcus.
Tata Harper received a minority investment from Alliance Consumer Growth in 2015.