De Witt acquires T-Zone

Related tags Brand management

De Witt - a British personal care company - has acquired T-Zone, a
tea-tree oil based skincare brand. The agreement is central to De
Witt's ambitious expansion strategy, which has seen the company
increase its turnover by 19 per cent over the past year.

"The new acquisition will make De Witt the third largest player in the UK medicated skincare market and will also offer us further potential to expand in international markets. The skincare sector is growing at 12 per cent year on year and is seeing both increasing diversification and attempts by the key players to increase the longevity of their products amongst wider customer groups,"​ said managing director of De Witt Paul Holbrook.

T-Zone's use of natural ingredients - along with its problem skin 'solution' positioning - complements Witch's skin refreshment branding and extends the reach of its portfolio.

"We are committed to controlled strategic growth which will leverage the IP and resources of the business while delivering real benefits in terms of market share, brand diversification and profitability. The successful completion of this deal to acquire T-Zone is a major landmark for De Witt and we are now looking forward to helping the brand realise its full potential,"​ said Holbrook.

The T-Zone deal follows an indepth investigation by De Witt into potential brands for acquisition, many of which were not originally for sale.

T-Zone was identified by De Witt's management team from an initial list of more than 100 potential acquisition brands as the ideal fit with the company's existing portfolio, which includes oral health and feminine hygiene ranges as well as skincare.

"We were attracted to T-Zone for a number of reasons, stemming both from its market position and its product formulation. Sales of T-Zone have been growing at 21 per cent and the brand not only has excellent distribution channels and shelf space allocation in the UK, but is well established internationally,"​ said Holbrook.

Following the successful acquisition, the company will now carry out a thorough assessment of the brand and the product range to ensure that it mirrors the innovative approach that has been applied to De Witt's other brands.

The T-Zone acquisition is one of a number of moves planned by De Witt in 2004 to strengthen the company's market position. Further new product development is planned for some of the company's existing brands while further acquisitions are possible should the right opportunities occur.

Related topics Business & Financial Skin Care

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