E-commerce company Hut Group said today it would buy Dermstore, an online retailer owned by Target, for $350m in cash as it looks to bolster the presence of its beauty brands in the US market.
The British company, which owns retail brands such as Lookfantastic and skin care group ESPA, also bought UK-based Claremont Ingredients and David Berryman for £59.5m.
It is looking to scale up its drinks business with the aim of developing flavours tailored to local tastes across the globe.
The Hut Group said the Dermstore deal would help scale up its beauty box business, while speeding up growth of its own brands through a large US customer base.
The company said it was expecting Dermstore to add sales of around $180m and adjusted core earnings of around $4m for 11 months of Hut Group's 2021 financial year.
Hut Group, which went public in September, said it was expecting a competition clearance for the Dermstore deal in late January.
Claremont and Berryman's are expected to add sales of around £15m and adjusted core earnings of around £4m in fiscal 2021, the company said.
