KKR has agreed to acquire Japanese beauty and lifestyle platform Ci FLAVORS from all existing shareholders, including founder Yusaku Horiuchi, L Catterton, eBeauty Group, and Yanagi Capital Partners.
Horiuchi and Ci FLAVORS Representative Director and CEO Yoshiaki Okura will reinvest alongside KKR, maintaining ownership exposure following the transaction.
Ci FLAVORS traces its roots to 2011 and has developed into a multi-brand platform spanning haircare, skincare, body care and lifestyle products.
Its portfolio includes &honey, 8 THE THALASSO, unlabel, THERATIS and MOROCCAN BEAUTY.
The company’s operating model spans brand sales, original equipment manufacturing, direct-to-consumer ecommerce, department store retail and international ingredient and materials procurement.
Ci FLAVORS has established a significant position in Japan’s haircare market, particularly across shampoo and hair treatment products.
The company has also increased international sales across markets including Asia and North America.
KKR plans to support further expansion in Japan and internationally using its consumer-sector network and operational resources.
Ci FLAVORS also expects to pursue additional category expansion, strengthen its talent and organizational capabilities and explore strategic M&A.
The acquisition follows several years of ownership by L Catterton and other investors.
L Catterton invested in Ci FLAVORS in 2022 and worked with management on product expansion, market penetration and leadership development.
KKR is making the acquisition through its flagship Asia Pacific private equity strategy.
The firm’s other consumer-sector investments have included Wella Company, beauty and wellness software platform Fresha, Japanese supermarket chain Seiyu, V3 Group and India’s Vini Cosmetics.
KEY QUOTES:
“Ci FLAVORS has built a differentiated position in Japan’s beauty market through its consumer-focused product development capabilities and diversified portfolio of brands. We look forward to working closely with the management team and leveraging KKR’s global network in the consumer sector, operational expertise, and investment experience to support the Company’s continued growth in Japan and further expansion across international markets.”
Eiji Yatagawa, Partner And Head Of Japan Private Equity At KKR
“We are grateful for their support and look forward to the next phase of transformation with KKR, which will help us further accelerate our growth initiatives, including through international and category expansion, strengthening our talent base and organizational capabilities, and strategic M&A.”
Yoshiaki Okura, Representative Director And CEO Of Ci FLAVORS
“The Company has achieved that through strategic planning and disciplined execution. It has been a privilege to work alongside Ci FLAVORS’ founder and management team on this journey, and we are confident that the Company is well positioned for further growth under KKR’s ownership.”
Taka Shimizu, Managing Partner At L Catterton
