SILK’S $52M DEAL A BEAUTY

COSMETIC business SILK Laser is buying the Australian Skin Clinics business for $52m, which nearly doubles its market presence and gives it access to a new lucrative market in New Zealand.

The Adelaide-based SILK, which has 61 stores, this month recorded its best opening-day sales in more than a decade amid rising demand related to a population boom in regional areas.

Besides the 42 clinics in the eastern states, the deal with Beauty Services Holdings, LMD2 and their related entities also includes ASC’s The Cosmetic Clinic business in NZ with 14 clinics.

The acquisition grows SILK’s footprint to 117 stores across the two countries, and puts it closer to its goal of getting to 150 clinics in the next few years.

SILK told investors it will raise $20m to partially fund the deal.