Japanese cosmetics major, Kose Corporation will form a joint venture company with Elder Pharmaceuticals Limited to manufacture and market cosmetic products for Indian market.
As per the terms of agreement, Kose will hold 60 per cent share in the JV company, KOSE Elder (India) Private Limited and focus on the Indian market for manufacturing and selling cosmetics in India.
Elder will hold 40 per cent stake in the proposed JV.
This is a first instance for Elder to form a joint venture with a Japanese company.
“India is a developing consumer market with strong growth potential. Women’s fashion is diversifying, and tastes in cosmetics are changing dramatically. Elder has successfully established and run subsidiaries abroad,” said Alok Saxena, joint managing director, Elder Pharmaceuticals Limited.
Elder has registered consolidated turnover of over Rs 1,350 crore for financial year ended March 2011-12.