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Henkel completes acquisition of Shiseido-owned company

Henkel AG & Co. KGaA announced Dec. 29 that it has closed its acquisition of Zotos International Inc., the hair products manufacturing subsidiary of Shiseido Co. Ltd.'s North American arm.

The acquisition is priced at $485 million and includes the purchase of both Joico and Zotos Professional brands, according to Henkel, a German consumer and industrial goods company. The deal was signed Oct. 26

According to Henkel CEO Hans Van Bylen, the company bought the Connecticut-based manufacturer to further expand into the U.S. hair professional market.

Zotos, which reported sales of $230 million in fiscal 2016, is primarily focused on the U.S. market, according to Henkel.

The German retailer will finance the transaction via "existing liquid funds and available credit lines," Henkel CFO Carsten Knobel said.