Shiseido Just Bought This Crazy-Popular Skin-Care Brand for $845 Million
By Danielle Fontana, Digital Editor |
Japanese skin-care giant Shiseido—which is home to brands like NARS and Clé de Peau Beauté—just announced its acquisition of seven year-old “clean beauty” brand Drunk Elephant for $845 million, WWD reports. The deal marks the second-largest acquisition of the year, second only to L’Occitane’s $900 million purchase of Elemis in January.
Described by Masahiko Uotani, Shiseido’s president and chief executive officer, as “one of the fastest-growing skin-care brands in history,” the punchy, Gen Z– favored brand saw skyrocketed growth this past year, with sales netting out close to $100 million. Now, according to a press release, Shiseido hopes Drunk Elephant will leverage their “global platform and help resources to expand into new and existing markets both in the Americas and internationally including Europe and Asia.”
You May Also Like: What are Peptides? What to Know About the Collagen-Boosting Ingredient
“I started this business as an industry outsider, and from the beginning I did things a little differently,” says Drunk Elephant founder, Tiffany Masterson. “To join with a powerhouse beauty company such as Shiseido that leads the industry in innovation and global excellence is a dream come true for me and for Drunk Elephant.”
View this post on Instagram
So…some great news! I’ve decided to partner with Shiseido. I couldn’t be more excited that we’ve found someone who respects my vision and the brand identity and is willing to let us stay who we are. Shiseido is a really beautiful company with a beautiful culture. I know what you’re wondering because I am a consumer and I always think/wonder the same things when brands I love are acquired. I want to reassure you. The formulations won’t be changing. I’ll remain in my same role. My same incredible and lovable entire team will stay with me. If it wasn’t announced, you wouldn’t be able to tell the difference; that’s our main goal. Our prices will not be increased. And, we’ll remain cruelty-free. I wouldn’t have signed on for this unless both parties could agree. Fortunately, we wanted the same things; we share like values. I feel so honored to join this global powerhouse. The best part in my opinion is that we’ll be able to act more quickly to accomplish a few things that you all have told us are very important to you and are also important to us: 1. Attain sustainability across the brand. 2. Get to the markets who have been requesting the products. 3. Share our philosophy in a louder way, spreading awareness so that we can hopefully help more people reconnect with their skin all over the world. 4. Ignite our anti-bullying campaign on a bigger stage. We are feeling excited and positive and a little overwhelmed (in a great way)! As always feel free to ask any questions you may have or share any concerns. 💚 Finally, we’d like to celebrate by sending out a cozy token of our gratitude to some of our followers. This community has been the most loving, kind, supportive, inquisitive and lovely community I could ever have dreamt of and I will be forever grateful! Please share below something you’ve loved about Drunk Elephant, and that you agree should never change! We’ll choose 100 and notify you on the DM. With love and gratitude 💚💚💚TM
Masterson assures us that the acquisition won’t touch change we love most about the buzzy brand via a sentimental Instagram posted this morning. "I want to reassure you. The formulations won’t be changing. I’ll remain in my same role. My same incredible and lovable entire team will stay with me. If it wasn’t announced, you wouldn’t be able to tell the difference; that’s our main goal. Our prices will not be increased. And, we’ll remain cruelty-free. I wouldn’t have signed on for this unless both parties could agree. Fortunately, we wanted the same things; we share like values. I feel so honored to join this global powerhouse."