Australia’s leading distributor of professional and cosmeceutical skincare and makeup brands, and medi-spa technologies, True Solutions, has been acquired by Wellness and Beauty Solutions Limited. The ASX-listed company (ASX: WNB) expects the acquisition to add $6 million in annualised revenue with True Solutions taking payment in SCRIP via a 3-year convertible note, approximately $1.5m in stock.
WNB has several products including Jbronze, nailKALM, TANNED, and the soon to be released ELLE Makeup, ELLE Kids and ELLE Baby ranges, all of which are distributed across WNB’s extensive network of online, pharmacy, grocery and retail channels. True Solutions International (TSI) has become the leading anti-ageing, wellness and medi-spa supplier to the professional medical and beauty aesthetics market. Their brand portfolio include Aesthetics RX, Glo Skin Beauty, HydroPeptide, Priori, Ilsci, Lightfusion, OMNILUX and Biostimology (Body Sculptor).
As of September 1, 2019, the acquisition will provide WNB access to True Solutions’ customer network as an additional distribution channel for WNB’s brands while True Solutions’ products will be launched through WNB’s clinic network and marketed to WNB’s professional spa and salon database, making this a mutually beneficial collaboration.
True Solutions founder (and SPA+CLINIC Industry Icon), Mandy Gray, will join WNB in a key advisory role, saying she is “proud of what the True Solutions team has achieved in the past 27 years. I’m really excited by the next phase of growth for this business and the opportunity that becoming part of WNB creates with access to new products, greater distribution and a clear cultural alignment.”
In a letter sent to True Solutions clients by WNB’s Managing Director, Christine Parkes, clients were assured that current processes won’t change and that the marketing support for the brands will be invigorated and customer support and communications enhanced. It was also announced that Mia Cassin will continue to oversee the True Solutions business.
“This deal demonstrates WNB’s ability to identify and execute on strategic opportunities that deliver added value, product and distribution expansion, diversification of revenue streams and further establishes WNB’s position as a leading supplier of wellness and beauty brands,” said Parkes.
“I’m very pleased to welcome Mandy Gray and the True Solutions team to WNB who are highly regarded in the Australian beauty industry. The Company has been a front-runner in identifying industry trends and, under Mandy’s leadership, is recognised as visionary and entrepreneurial in an ever-evolving industry.”