Henkel increases its US presence

German-based Henkel Group is to further strengthen its hair cosmetics business through the acquisition of US company Advanced Research Laboratories (ARL). The agreement will push the European company into third position in the US hairstyling market.

"ARL ideally complements our existing hair cosmetics business," said vice president of Henkel's cosmetics business sector Uwe Specht. "The acquisition will take Henkel a significant step forward in the hair cosmetics market".

ARL is an innovator in developing and marketing hair cosmetics, offering fashion-led and ethnic hairstyling products. The company has succeeded in generating double-digitpercentage sales growth rates in recent years and is expected to project net salesof €105 million.

"We are delighted to become part of a major, internationally successful company. This development will secure and further enhance the long-term growth perspective of our brands," said ARL CEO Thomas Parr.

Henkel, which announced last month it would buy soap company Dial Corp for €2.3 billion, gave no price for its latest acquisition. The agreement anticipated to be completed early this year is subject to regulatory approval and other customary closing conditions.