Johnson & Johnson (China) Investment Co., Ltd. Acquires Beijing Dabao Cosmetics Co., Ltd.

01 Aug 2008

Johnson & Johnson has bought one of China's best-known cosmetics companies, to expand its line of skin-care products in the Chinese market, for an undisclosed sum.

Its Chinese subsidiary, Johnson & Johnson (China) Investment Co., Ltd. has bought Beijing Dabao Cosmetics Co., Ltd in which the Chjinese government had an 83-per cent stake, with the employees owning the remaining 17 per cent from Beijing Sanlu Factory and the Beijing Dabao Co. Ltd. Staff Shareholding Committee.

"This transaction is an extension of our commitment to China, and to the continued development of China's consumer health care sector," said Jesse Wu, President of Johnson & Johnson (China) Investment Co., Ltd.

"Since establishing our first joint venture in China in 1985, the Johnson & Johnson Family of Companies has continuously demonstrated its commitment to improving the health and well-being of Chinese families, and to China as an important market. We are very pleased to add the well-known and respected Dabao brand to our growing portfolio of health care brands in China. We look forward to working with our new colleagues at Dabao to serve even more Chinese families with Dabao's leading Chinese products." Other Johnson & Johnson consumer skin care brands in China include Johnson's Baby, neutrogena, and Clean & Clear.

"We are proud to be an official partner of the Beijing 2008 Olympic Games and Paralympic Games. We also have launched the Johnson & Johnson Family Health Initiative in China -- a comprehensive campaign featuring a number of national health education programs that will help families in China enjoy happier, healthier lives," Mr. Wu added.

Dabao personal care brands have met a wide range of needs for Chinese consumers since 1985. Its skincare line includes products well-known in Chinese households, including Sod Milk , Beauty Day Cream, and Sod Protein Milk.

"Dabao is a successful brand in the China market, and a brand we respect. We plan to develop the brand further with the help of Dabao's unsurpassed local market knowledge and our experience in marketing, research and product innovation," said Wu.