Japan: Kirin seeks full ownership of Fancl

Kirin, the leading Japanese drinks firm, has announced a ¥220 billion yen ($1.39 billion) tender offer to acquire the remaining shares in personal care firm Fancl, with the aim of making it a wholly-owned subsidiary.

Kirin acquired around 33% of Fancl’s shares and established a capital and business alliance in 2019.

“By commercializing ingredients created through the natural technology of fermentation, leveraging customer understanding gained from Kirin Holdings’ and FANCL’s strong relationships with consumers, and delivering them to consumers through multiple channels in the Asia-Pacific region, the Kirin Group will contribute to solving consumers’ health issues in both the cosmetics and health food businesses and further enhance its presence in the global market in addition to Japan”, the company said in a statement.

Kirin also cited its long-standing immunology research and its existing health food business base in Asia-Pacific, which it acquired through the Blackmores acquisition.

“FANCL’s strengths lie in its ability to connect with and understand consumers through its D2C channels (online and directly-managed store sales), which account for 70% of sales, and in its technology for commercializing products by utilizing consumer feedback in research and development”, Kirin added.

Source: Kirin