Deb Group Agrees to Buy Stoko Professional Skin Care

The parties did not disclose the purchase price and said they expect the transaction to close in two months, pending approval by the Evonik Supervisory Board and by German antitrust authorities.

Two skin care companies are uniting as Deb Group Ltd has agreed to purchase the Stoko Professional Skin Care business from Evonik Industries AG, a German company. The purchase agreement was signed March 19 on behalf of Deb Group, based in Denby, England. Stoko is based in Greensboro, N.C. The parties did not disclose the purchase price and said they expect the transaction to close in two months, pending approval by the Evonik Supervisory Board and by German antitrust authorities.

"We continue to direct our portfolio toward high-margin specialty chemicals businesses. While Stoko Professional Skin Care enjoys an excellent reputation on the market, its business model fundamentally differs from that of Evonik today. As such, we have decided on a buyer that can best realize the growth potential of the business. We believe that Deb will be a good home for Stoko and its people," said Patrik Wohlhauser, a member of the Evonik Executive Board.

Deb Group's announcement called the acquisition a "historic and significant investment in the away from the home skincare sector" that joins two companies with "highly complementary customers, product and geographic coverage."

"It has been a longstanding ambition of Deb's to join forces with Stoko," said Bryan Anderson, CEO of Deb Group. "We want to create the world's most comprehensive and effective skin care product range for the workplace drawing on the significant innovation portfolio within both companies. This, in concert with vital information provided by Deb's unique compliance monitoring technology, will fundamentally alter and improve standards of skin care behavior."

Evonik's news release said the Stoko purchase "particularly stands to benefit the Deb Group by strengthening its market position in Europe and the United States. In addition, with the help of Stoko, Deb plans to increasingly expand into the new markets of Russia and Brazil."

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