DongKook Pharm Acquires ODM Company ReBom Cosmetics
Invests 30.6 billion KRW ($23 million), Acquires 53.6% Stake
On the 16th, DongKook Pharmaceutical announced that it had signed a contract to acquire ReBom Cosmetics, a company specializing in cosmetics research, development, and export. Through this acquisition, DongKook will purchase 96,600 shares of ReBom Cosmetics for 30.6 billion KRW ($23 million), securing a 53.6% stake. This move is part of the company's strategy to secure new growth engines and diversify its business. The official acquisition date is set for October 22.
Founded in 2010, ReBom Cosmetics is an ODM (Original Design Manufacturing) company, known for its excellent quality and partnership with over 150 clients. The company exports to 34 overseas partners across 26 countries. It has been recognized for its production quality, receiving CGMP (Current Good Manufacturing Practice) approval in 2016, ISO22716 (Cosmetic Good Manufacturing Practice) certification in 2017, and Halal certification in 2019.
DongKook Pharmaceutical, established in 1968, entered the cosmetics market in 2015 with the launch of the derma-cosmetic brand Centellian24. This brand, which applies the core ingredient TECA (Titrated Extract of Centella Asiatica) to its products, is based on DongKook’s expertise in developing plant-based raw materials over the last 50 years. Centellian24 has since been a leader in the Korean derma-cosmetic market.
With this acquisition, DongKook is expected to reduce production costs by manufacturing its cosmetics directly. Until now, products like Centellian24 have been produced through Kolmar Korea.
DongKook Pharmaceutical CEO Jun-ho Song stated, “We expect synergy as DongKook's expertise in natural extract technology and herbal medicine development merges with ReBom Cosmetics’ research and manufacturing know-how. We will develop competitive products to showcase the excellence of K-beauty, not only in Korea but globally.”