Shiseido Co. said Saturday that it will acquire U.S. cosmetics company DDG Skincare Holdings LLC for $450 million to bolster sales of high-end skincare products as part of efforts to diversify its businesses.

DDG Skincare Holdings is known for its exfoliators sold under the Dr. Dennis Gross Skincare brand launched by a practicing dermatologist. The company's sales are estimated at $94 million in 2023, up 18 percent from a year earlier.

The Japanese company is looking to reduce its dependence on China as sales in the world's second-largest economy are faltering. Chinese consumers are steering clear of Japanese products following the release of treated radioactive water from the crippled Fukushima Daiichi nuclear power plant.

The acquisition comes as demand for cosmetic products supervised by skin specialists is growing in the United States, Europe and Japan.


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