Regis forms naturals joint venture

By Simon Pitman

- Last updated on GMT

Regis, the leading global hair care provider, has announced a joint
venture with Intelligent Nutrients, part of the Horst Rechelbacher
group, in a deal that will see the companies co-operating to
manufacture and distribute a line of organic hair care and personal
care products.

The venture will see the new companies combining rescources to increase the production, distribution and marketing of a line of products that are sold under the Intelligent Nutrients by Horst brand name.

The products are made with ingredients that are harmonically growth principally using organc farm methods, and will be offered at Regis' corporate and franchised hair care salons worldwide, which currently number more than 11,000 locations.

The terms of the agreement mean that Regis Corporation and Horst Rechelbacher are 50/50 partners in the venture, which will distribute hair care, skin care and body care lines.

The deal taps into the fast-growing market for natural and cosmetics products, which is currently driving significant activity within the industry as companies race to increase their footprint in the market.

Industry experts say that the growth in the naturals and organics market will continue to provide the backbone of industry growth in North America, whereas in Europe, where the market is said to be less developed, the market is now said to have topped €1bn ($1.2bn).

Paul Finkelstein, Regis CEO, says he beleives customers ast Regis salons will be attracted to an organic, professional hair care product line because it is responding to consumer demand for organic products.

Intelligent Nutrients is based in Minneapolis, Minnesota, and was founded by Horst Rechelbacher in 1995. He is also the founder of Aveda, a plant-based cosmetics company that was sold to Estee Lauder in 1997.

Meanwhile, Horst Rechelbacher said of the deal: "Regis has the ideal global infrastructure of hair salons in all of the best malls and retail locations to introduce people to Intelligent Nutrients."

Rechelbacher added that the move was in line with the vision to 'offer organic, harmonically grown, highly nutritional products with food-based ingredients'.

Related topics: Skin Care, Hair Care

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