The acquisitions mark the company’s first move into the professional skin care category
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Colgate-Palmolive has entered the professional skin care category with the acquisition of PCA Skin and EltaMD.
The two separate deals are said to complement Colgate-Palmolive’s existing global personal care businesses; Colgate is the owner of Toms of Maine, Palmolive Naturals, Colgate, Sanex and Irish Spring.
Ian Cook, Colgate's Chairman, President and CEO, said: “PCA Skin and EltaMD form an exciting combination for Colgate's entry into the professional skin care category.
“We are delighted that these high-growth, high-margin brands will strengthen our global personal care business. Their complementary product portfolios and sales forces, strong professional support and similar distribution channels will advance Colgate's presence in the premium global skin care category.
“Furthermore, these businesses will benefit from Colgate's decades long legacy of working with professional experts to deliver recommendations that benefit their patients."
The two brands. which will be operated independently after the deal closes, are expected to make net sales of around US$100m in 2017.
PCA Skin is a medical-grade brand designed for different skin concerns, including those with acne, sensitive skin and discolouration.
Meanwhile, EltaMD is a physician-dispensed sun care brand formulated for everyday use.
The deal is expected to close in the first quarter of 2018.