Galderma Pays $1.5 Billion for a Skincare Brand You Will Not Find at Sephora
The deal brings Zein Obagi's physician-dispensed skincare line into the same portfolio as Cetaphil and Dysport, as Blackstone cashes out of a brand it has owned for just a few years.
Galderma has agreed to acquire ZO Skin Health from Blackstone in a $1.5 billion, all-cash deal, Reuters reported Tuesday. ZO sells its skincare exclusively through physicians, was founded by dermatologist Zein Obagi, and posted about $330 million in net sales over the 12 months through June. The deal is expected to close in the fourth quarter of 2026 or early 2027, pending regulatory approval, and will fold ZO in alongside Galderma's existing Cetaphil and Alastin brands.
Galderma, which also makes the Dysport neurotoxin and Restylane fillers and counts L'Oréal as a 20% shareholder, said it expects the deal to be roughly neutral to earnings in its first full year and slightly dilutive to margins in 2027, with growth resuming the year after. CEO Flemming Ørnskov said the company sees "significant opportunities to reignite its growth through investment in innovation and commercial reach." It is a straightforward thesis: physician-dispensed skincare is one of the few corners of beauty still growing, and everyone wants a bigger piece of it.
Source: Reuters
Kyle Duford, Founder & Editor, BRNDWIRE. More from Kyle →
