Nestlé to buy five skin care products from Valeant for $1.4 bn
28 May 2014
Swiss food giant Nestlé SA today struck a deal to buy five skin care products from Valeant Pharmaceuticals Inc. for $1.4 billion in cash in a bid to boost its newly-established skincare unit.
Vevey-based Nestlé said it was acquiring the US and Canadian commercial rights to five aesthetic dermatology products, including Restylane, Perlane and Emervel used for corrective facial aesthetic treatments, and Dysport, used for dermatology treatment.
It is also acquiring the full rights to Sculptra, a dermal filler for aesthetic and medical uses in the US, Canada and other markets.
The US and Canada represent more than half of the global market for medical aesthetics products, Nestlé said in a statement.
The acquisition will strengthen Nestlé's newly-established skincare unit called Nestlé Skin Health SA, which was recently set up after Nestlé agreed to take full control of Galderma, its dermatology joint venture with French cosmetics giant L'Oréal. (See: L'Oreal to divest Galderma stake to Nestle)
"With this deal we have acquired key strategic assets to extend Nestle's activities in the field of specialised, medical skin treatments, providing consumers with life-enhancing scientific products," said, Peter Brabeck-Letmathe, Chairman of the Swiss group.
"This move will reinforce Galderma's leading position in the industry when it becomes Nestle Skin Health by allowing it to complete its geographic footprint for its strong portfolio of brands and leading medical solutions globally,'' said Nestlé CEO, Paul Bulcke.
Galderma focuses on acne, pigmentary disorders, skin cancer, rosacea, psoriasis and steroid-responsive dermatoses, onychomycosis and skin senescence.
The company's major products are Azzalure, an anti-ageing drug manufactured by Ipsen SA, which Galderma markets. The drug is in direct competition to multi-specialty health care products maker Allergan's Botox.
Cetaphil comprises a range of cleansing moisturising and UV protective products for compromised and sensitive skin. Clobex is used in the treatment of inflammatory dermatoses such as psoriasis or atopic dermatitis.
Galderma has over 3,000 employees in 31 affiliates around the world with three manufacturing sites and the largest R&D facility in the world dedicated exclusively to dermatology.
