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In focus
- K-beauty goes global and private equity takes notice
- But India may be a tougher nut to crack, as we previously reported
- Saison Capital launches blockchain investment fund
Hello reader,
A friend recently returned to Hanoi from a trip to France and brought me back what many would say is the country’s greatest export: cheese. His partner brought her friends another contender for that title: beauty products.
While my friend would be hard-pressed to find comparable cheese industries near Vietnam, his partner needn’t have gone so far for perfumes, lotions, and other potions. Increasingly, beauty buyers are looking east instead of west, and private equity firms are following that trail of demand straight to South Korea.
Today’s Top Story dives into the investments from the likes of Blackstone and KKR as private equity giants say “annyeonghaseyo” to K-beauty. Spoiler alert: the global rise of K-pop is partly behind the surging popularity of Korean cosmetics, and investors are betting that brands like Juno and Skinfood can follow in BTS’ and Blackpink’s footsteps.
Of course, there are roadblocks on K-beauty’s path to dominance, as a story from our archives by my colleague Samreen explores.
While Korean cosmetics have become popular in India, some are questioning if they represent a permanent makeover or a passing fad. K-beauty brands struggle to cater to the country’s full spectrum of skin tones, and local players may end up having more staying power.
When it comes to cosmetics and investments, beauty really is in the eye of the beholder.
Peter Cowan, engagement editor
Top Story
Private equity giants touch up portfolios with K-beauty deals
Photo credit: TEA / Shutterstock
This year, private equity firms have put their money where the makeup is, closing US$1.4 billion worth of M&A deals in South Korea’s beauty industry.
The sector’s surging global appeal, competitive moat, and potential for scale have attracted the big bucks, according to one investor.
From our archives
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