Kolmar Korea Co. to take over Barrie's CSR Cosmetic Solutions

A leading South Korean cosmetics manufacturer, Kolmar Korea Co., has acquired Barrie's CSR Cosmetic Solutions Inc. in a bid to expand Kolmar Korea's presence in the North American market. 

Kolmar Korea announced on Nov. 30 that it signed a contract to buy an 85 percent stake in the Barrie cosmetics company and its manufacturing facility and site on Victoria Street. 

The deal is reportedly worth about $28.5 million.

CSR President/CEO and owner Steve Blanchet says the purchase is 'a very good opportunity for CSR.'

"To align ourselves with a company called Kolmar Korea, represents a very good opportunity for CSR to increase market share on a world-wide basis and also bring investment into Barrie and potential growth opportunities for our facility here in Barrie going forward."

The deal doesn't actually close until January 16, Blanchet says, but Kolmar Korea being a public company in Korea had to make the announcement.

Blanchet will continue to be President and CEO for the next two years.

He says it's too early to talk about Kolmar Korea's specific plans for the Barrie facility regarding any possible physcial changes to the site.

"We're going to close on the 16th and once that happens further discussions will happen relative to plans for Barrie and the relationship."

CSR Cosmetics Solutions is a manufacturer and formulator of skin products and cosmetics that has been in Barrie for over 63 years and boasts clients that include global cosmetics giants like Estee Lauder and L'Oreal.

About 240 people work at the facility and Blanchet was asked if employees should be worried about job losses.

"No, the exact opposite," Blanchet said. "The plan going forward is to expand the operation and increase business in Barrie and in North America because Kolmar Korea will be using our facility as one of their main facilities to build business in North America."

Blanchet declined to comment on the selling price and Kolmar Korea did not respond to BarrieToday's inquiry about the purchase.

For the past two years, Blanchet has been Chair of the Barrie Business Ambassadors and says one of the group's goals is to bring new businesses and new investment into Barrie.   

He says this deal fits that criteria.

"I think its a very good opportunity for Barrie because what we're doing is bringing a very I would call high profile company into Barrie that wants to invest in Barrie and continue to grow.  So I think that's a very good thing."

Blanchet is a Toronto native who worked in Los Angeles and moved to Barrie in 2001.

The sale of his company brings mixed emotions.

"When you own a company it's almost like your child so there's always discussions and you go through fairly detailed thought processes," Blanchet explained.  "But from my perspective the most important thing was being sure we were aligning ourselves with a company that's going to allow us to continue to grow.  And since those criteria were met, from my perspective I'm excited and looking forward to helping the company grow."