| Dr.G's cosmetics products (Gowoonsesang Cosmetics) |
French beauty giant L'Oreal announced Monday that it has agreed to acquire Gowoonsesang Cosmetics, which owns Korean skincare brand Dr.G, from Swiss retailer Migros.
The deal, made for an undisclosed sum, involves the Migros-owned Mibelle Group selling its 100 percent stake in Gowoonsesang. The acquisition is expected to conclude in the coming months.
Dr.G will be part of the group's consumer products division in an effort to capitalize on the growing demand for Korean beauty products while offering scientifically developed, effective and affordable skincare solutions, according to the beauty giant.
"We are delighted to welcome Dr.G into the L'Oreal family. Created by a dermatologist and offering high-performing solutions solutions suitable for even the most sensitive skin, Dr.G perfectly complements our existing skincare portfolio,” said Alexis Perakis-Valat, Global President of L'Oreal's Consumer Products Division.
Samuel du Retail, president of L'Oreal Korea, added that L'Oreal's involvement in Korea's beauty ecosystem would help “expand the influence of K-beauty globally.”
Since its launch in 2003, Dr.G has become a leading Korean skincare brand. With ingredient-focused formulations, Dr.G consistently ranks among the top three dermocosmetic brands in Korea across online and offline platforms, anticipating breaching the 200 billion won mark ($138 million) in sales for the first time this year.
The firm recorded 198 billion won in sales last year, marking a sevenfold increase compared to 2017.
This year, Dr.G demonstrated strong international growth. Overseas sales surged 67 percent on-year as of November, driven by a 127 percent increase in Japan and significant expansion in Southeast Asia, particularly Vietnam and Thailand. In the US, the brand saw a 117 percent on-year increase in average monthly sales.
Currently available in 13 countries, Dr.G plans to expand into additional markets, with the goal of becoming the leading brand in the US and Japanese markets by 2030.
Dr. Ahn Geon-Young, dermatologist and founder of Gowoonsesang Cosmetics, expressed optimism about the deal, hoping to advance the brand's research capabilities with L'Oreal. “We believe becoming part of L'Oreal will provide a crucial turning point in realizing our global vision."
