Boots snaps up Clearasil

Uk retailer Boots has bought the world's best known acne cream for £233m from US consumer goods giant Procter & Gamble.

Teenagers are a relatively homogenous group throughout the world with similar aspirations, emotions and skin problems

Boots spokesman

P&G did not consider Clearasil a core brand - even though it is the market leader in most countries.

The acquisition fits in with Boots' ambitious global expansion plans, giving it a major foothold in the US and Japanese markets.

But the deal had little effect on Boots' share price, which slipped slightly, by 2.5p to 524.5p.

Securing UK jobs

Clearasil, which accounted for less than 2% of P & G's global beauty division's $7bn turnover, will fit into Boots' existing skincare portfolio.

Boots plans to manufacture the brand in-house, securing jobs at its plants in Nottinghamshire and Airdrie, in Scotland.

It is expected to continue with the high level of advertising spend and product innovation which has driven Clearasil since its launch 50 years ago.

Boots plans to add 'three or four' new Clearasil variants a year.

A spokesman said the brand had global appeal, as teenagers were a "relatively homogenous group throughout the world with similar aspirations, emotions and skin problems."

International springboard

Boots Healthcare International managing director Barry Clare said the Clearasil business would fit with the French and German skincare companies Boot bought in 1995.

"This is a great opportunity for us to keep the ball rolling,", Mr Clare said.

The purchase provides a springboard for the group's new US subsidiary Boots Healthcare and opens up Japan and the US to the company's full range of products, he added.

Procter & Gamble is cutting back its international brand portfolio, to focus on big earners such as Pringles potato chips, Tide detergent and soft drink Sunny Delight.

The company owns more than 300 brands in 140 different countries.