Finnish cosmetics company the Lumene Group restructures
concentrate on its beauty and hair care segments and make its
cleaning products subsidiary Farmos independent.
Following the restructuring plan private equity firm CapMan funds will hold an estimated 55 per cent stake in both Lumene Cosmetics and Farmos respectively. Lumene will focus on cosmetics and hair care The Lumene Group manufacturers and sells skin care, hair care and cosmetics products using natural ingredients from the Artic environment. The company's products contain berry seed oils and pine tree extracts found in the Finnish Lapland, placing them firmly within the growing naturals category. Lumene Cosmetics concentrates on skin care and cosmetics whereas the hair products segment operates under the brand name Cutrin. In 2007 Cutrin together with Lumene Cosmetics achieved sales of €101m in 2007 having successfully expanded into Russia and the Baltic Countries. Furthermore in 2007 the company targeted Latin America through the signing of a distribution deal with leading pharmacy in the region Farmacias Ahumada (FASA). The company is now planning to expand its operations in the Baltic countries and Russia. "The new clear-cut structure enables us to concentrate on our core competencies as an industry expert in beauty and wellness," said CEO of the Lumene Group Tapio Pajuharju. Cleaning products subsidiary independent Following the restructuring the company's subsidiary Farmos will become independent allowing it to concentrate on cleaning, disinfection, hygiene products and industrial chemicals. Like Lumene Cosmetics, Farmos will also be looking to expand the company's operations in Russia and the Baltic countries. "The company's sales and profits have developed very favourably in the last few years, and we believe that our owners are prepared for the long-term development of Farmos as an independent Finnish company," said Farmos managing director Juha Saarinen.
