Johnson & Johnson To Buy Remaining Stake In Japan's Ci:z In ¥230 Bln Deal

(RTTNews) - Johnson & Johnson (JNJ) announced Tuesday its agreement to acquire the remaining stake of Japan's Ci:z Holdings Co., Ltd. which it does not already own.

Johnson & Johnson will launch an all-cash offer to acquire the stake for 5,900 Japanese yen per share, which equates to approximately 230 billion yen. The acquisition will include the Company's range of brands comprising Dr.Ci:Labo, Labo Labo and Genomer line of skincare products.

J&J, through its affiliate Cilag GmbH International, already owns 19.9 percent of Ci:z, a developer of dermocosmetic, cosmetic and skincare products. The purchase was made in July 2016 as part of its long-term strategic collaboration with the Japanese company to distribute the Company's brands outside of Japan.

The tender offer is part of a series of transactions pursuant to which Johnson & Johnson intends to acquire all the outstanding shares of the Company. This includes a separate transaction whereby Johnson & Johnson will acquire the shares of the Company held by CIC Corp., the ownership vehicle of the Company's founder, Yoshinori Shirono.

Ci:z' skincare portfolio is expected to strengthen Johnson & Johnson's market presence in Japan with key customers, and more broadly bolster its offering in science-based, efficacious dermocosmetic brands.

Jorge Mesquita, Worldwide Chairman, Johnson & Johnson Consumer, said, "This transaction will maximise value creation for Johnson & Johnson's Consumer business by bringing in an agile innovation model and rapidly accelerating sales through our global commercialization expertise."