HiteJinro Group, South Korea’s No.1 alcoholic beverage maker with a century-old history, has chosen cosmetics development and production as its new growth engine to diversify its business portfolio heavily relying on alcoholic drinks whose demand has stayed stalled.Seoyoung e&t Co., a beer cooler-making and food-importing company under HiteJinro Group, acquired a full stake in BNB Korea Co., a local cosmetics original design manufacturing (ODM) company, from a Seoul-based private equity firm SKS Private Equity, the company announced on Thursday.
SLOWDOWN IN THE KOREAN ALCOHOLIC DRINK MARKETHiteJinro has been actively looking for new opportunities in new sectors and markets abroad after grappling with stagnating profit growth at home due to the saturated alcoholic beverage market in recent years.HiteJinro reported 123.9 billion won ($90.3 million) in operating profit in 2023, down 35% from the prior year.
It did not disclose the financial terms for the acquisition, which was joined by financial investors Korean PEF The Turning Point and investment firm SB Partners.“Amid intensifying competition in the mainstay (alcoholic drink) business, we have actively explored new opportunities, and then the K-beauty’s ascent has grabbed our attention, leading us to take over BNB Korea,” said an official from Seoyoung e&t.
The story "S.Korea’s No.1 soju maker HiteJinro to foray into global beauty market" has 642 words across 30 sentences, which will take approximately 3 - 6 minutes for the average person to read.
Which news outlet covered this story?
The story "S.Korea’s No.1 soju maker HiteJinro to foray into global beauty market" was covered 5 hours ago by Korea Economic Daily, a news publisher based in South Korea.
How trustworthy is 'Korea Economic Daily' news outlet?
Korea Economic Daily is a fully independent (privately-owned) news outlet established in 1964 that covers mostly economy news.
The outlet is headquartered in South Korea and publishes an average of 16 news stories per day.
It's most recent story was published 11 minutes ago.
What do people currently think of this news story?
The sentiment for this story is currently Neutral, indicating that people are not responding positively or negatively to this news.
How do I report this news for inaccuracy?
You can report an inaccurate news publication to us via our contact page. Please also include the news #ID number and the URL to this story.