Unilever to Buy Carver Korea for 3 Trillion Won

Unilever to Buy Carver Korea for 3 Trillion Won

Industry watchers say Unilever acquired the firm - touted at the biggest deal in the domestic cosmetics industry - to take advantage of Carver Korea's potential in the Chinese market.

It was bought by Bain Capital and Goldman Sachs in 2016.

Goldman and Bain bought the stake in Carver, whose beauty product brands including flagship skincare line A.H.C., just a year ago.

"It's right at the top-end of what Unilever's paid for things but it's pretty profitable and 35 per cent of the sales go to China, so they're acquiring right in the heartland of current beauty trends", he said by phone.

"Alan Jope, president of personal care division at Unilever, said the Carver transaction would 'significantly strengthen our position in North Asia, the largest skincare market in the world, '" write Naomi Rovnick, Scheherazade Daneshkhu and Song Jung-a for Financial Times.

Unilever said the range includes the product Eye Cream for Face, along with essences, toners, moisturisers, masks and sunscreens. The brand will also complement Unilever's existing portfolio, enabling it to provide consumers with luxury skincare products at affordable prices.

Founded in 1999, Carver became the "fastest-growing" skincare business in South Korea through the sales of its brand AHC, which focuses on age management, and hydration and nourishment, according to the press statement.

South Korea alone is the fourth-largest skincare market in the world, with beauty products based on natural ingredients such snail gel, volcanic ash and green tea developing into a staple of the country's cosmetic market.

"This has been a great opportunity for us to partner with a leading Korean company in an exciting segment of the cosmetics space and to help support its brand, operations and growth around the world", Bain Capital Private Equity managing director Ed Han said. "Unilever is a strong partner to help the company in its next phase of growth and development".