Clariant acquires Lucas Meyer Cosmetics

03-Apr-2024 - Last updated on 04-Apr-2024 at 14:02 GMT

The move increases Clariant’s exposure to the active and functional cosmetic ingredients market

Swiss specialty chemicals company Clariant has acquired Canadian cosmetics and personal care ingredients business Lucas Meyer Cosmetics from International Flavors & Fragrances (IFF) for $810m (€767m).

The business said the acquisition will expand its reach into the high-value cosmetic ingredients space and “transform its portfolio towards high-growth, high-margin and highly cash-generative specialty chemicals businesses and consumer end-markets underpinned by accelerating demand for natural and sustainable products.”

The move increases Clariant’s exposure to the active and functional cosmetic ingredients market in the Business Unit Care Chemicals. The business also said it had ambitions to grow Lucas Meyer Cosmetics annual sales from $100m (€947m) to $180m (€170m) by 2028.

Clariant CEO Conrad Keijzer said he believed the acquisition was a prime example of how the business implemented its “purpose-led growth strategy.”

“The complementarity in customer portfolio, product portfolio, and regional strongholds and capabilities in R&D and in marketing make the combination of Clariant and Lucas Meyer Cosmetics a leading solutions provider for high value personal care brands,” he continued.

Meanwhile, President of the Clariant Business Unit Care Chemicals and the Americas region Christian Vang said he saw the acquisition as a significant step forward for Care Chemicals. “Customers as well as consumers increasingly demand high value natural ingredients,” he said.

Lucas Meyer Cosmetics, which was founded in 1999 and is headquartered in Québec, Canada, is a leading player in the high value active and functional cosmetic ingredients market.

American flavours, fragrances and cosmetics actives company IFF had acquired Lucas Meyer Cosmetics in July 2015.

Of the divesture, IFF CEO Erik Fyrwald said the company was now “optimising and streamlining” its portfolio to drive simplification and focus. “The sale of IFF's Cosmetic Ingredients Business represents another significant step that will enable us to make more attractive strategic growth investments as we reduce our debt and interest costs,” said Fyrwald.

“We want to thank our Cosmetics colleagues, who are dedicated to excellence in service. We wish them all the best for their new journey,” he concluded.