The announcement was made by DSC's previous owner the Russian cosmetics company Kalina, which stated that the two companies had entered into an agreement which will see Coty acquire all of Kalina’s shares of DSC.
"We are proud of what we've been able to accomplish since acquiring Dr. Scheller Cosmetics AG, restructuring the company and bringing it to profitability," said Alexander Petrov, CEO of OJSC Concern ‘Kalina’.
"We are confident that the company will continue to grow under Coty's leadership. However, we will continue to maintain ownership of Dr. Scheller Das Naturkonzept product line, which we intend to grow as an international brand."
Colour cosmetics further enhanced
The acquisition further enhances Coty Beauty's colour cosmetics portfolio through the addition of DSC's German makeup brand, Manhattan. In addition, it will acquire Manhatten's Clearface anti-acne brand.
With the addition of DSC's Manhattan products, Coty becomes the second largest player in the German colour market.
"The acquisition of Dr. Scheller Cosmetics is a natural extension of our strategy to offer a well balanced portfolio of brands, representing some of the leading consumer products in Germany," said Bernd Beetz, CEO, of Coty
"Their well established brand, high-quality products, market presence and loyal consumers will complement and add value to Coty's existing offerings."
Coty says it will leverage DSC's current distribution channels for its existing products including Astor, Rimmel and Esprit Cosmetics.
Market share has more than doubled
With this acquisition, Coty's market share in the colour cosmetics category in Germany will increase from 7 per cent to 17 per cent.
Globally, the colour cosmetics pillar will represent 25 per cent of Coty's total portfolio. According to the beauty and fragrance firm, it also paves the way for Coty to achieve its goal of becoming a $7bn (€5.1bn) beauty company by 2015.
This acquisition follows the recent announcement that Coty acquired the license for Calvin Klein Color Cosmetics.
At the time Beetz expressed how the move will enable Coty to push the boundaries of the colour cosmetics segment.