Amorepacific made an announcement regarding its acquisition of COSRX as a subsidiary through an additional stake acquisition yesterday (October 30). They revealed plans to acquire the remaining 288,000 shares held by COSRX’s largest shareholder and related parties for 755.1 billion won ($559.8 million). Previously, in September 2021, Amorepacific had acquired a 38.4% stake in COSRX and was granted a call option to purchase the remaining shares, a decision they have now chosen to exercise. As a result, Amorepacific is expected to hold 93.2% of COSRX shares.
COSRX, founded in 2013, is a skincare brand specializing in hypoallergenic products for sensitive skin. It has gained significant traction in the market with its ‘Advanced Snail’ line and ‘The RX’ line, establishing itself as a prominent player in the global skincare industry. Over the past three years, the company has experienced remarkable annual sales growth, averaging over 60%, and reported sales of 204.4 billion won ($151.5 million) in 2022. In the first half of this year alone, COSRX achieved sales of 190.2 billion won ($141 million) and an operating profit of 71.7 billion won ($53.2 million), continuing its impressive growth trajectory.
Following the equity investment in 2021, both Amorepacific and COSRX collaborated on the development and successful launch of products like ‘The Vitamin C 23 Serum’ and ‘The Retinol 0.1 Cream’ from COSRX’s next-generation core line, The RX, which gained recognition and success internationally. Leveraging COSRX’s strong global competitiveness, Amorepacific aims to expedite its global expansion through multifaceted collaboration.
Seunghwan Kim, CEO of Amorepacific Corporation, expressed excitement about COSRX joining their group, acknowledging the brand’s rapid growth driven by unique products and marketing strategies with a strong emphasis on digital channels. Kim stated, “Moving forward, we aim to amplify COSRX’s unique strengths while integrating Amorepacific’s vision and business management expertise to develop it into a captivating brand that global customers will love.”