THE WHAT? Macquarie Private Equity has agreed to acquire South Korean cosmetics manufacturers Hwasung Cosmetics and Nowcos for approximately KRW 300 billion (US$216.6 million), expanding its exposure to the K-beauty manufacturing sector.
THE DETAILS The private equity arm of Macquarie Asset Management has signed an agreement to acquire Affirma Capital’s 70 percent stake in Hwasung Cosmetics and its entire holding in Nowcos, with plans to subsequently acquire the remaining 30 percent of Hwasung from its founder. Affirma acquired Hwasung in 2019 before adding Nowcos through a bolt-on acquisition strategy. Samsung Securities and Rothschild advised on the sale. The transaction follows other private equity investments in the Korean cosmetics ecosystem, including KKR’s acquisition of Samhwa and CVC Capital’s investment in Silicon2.
THE WHY? The acquisition highlights growing international investor interest in the manufacturing and distribution infrastructure underpinning K-beauty’s global expansion, as private equity groups seek exposure beyond individual consumer brands.
Source: Finance BigGo
