US private equity major KKR announced that it has acquired South Korean cosmetics packaging company Samhwa Co Ltd from TPG at a $528-million valuation.
The transaction marks the exit of TPG, which invested in Samhwa in 2023 and helped steer its transformation from a family-owned business into a premium-focused supplier. Terms of the deal were not disclosed.
Founded in 1977, Samhwa has grown into one of Asia’s top cosmetics packaging producers and ranks among the top 10 globally, per the announcement. The company supplies more than 300 brands worldwide, including global luxury names.
“We are thrilled to welcome KKR as our new investor as we embark on our next chapter of growth and innovation,” said Jun-bae Kim, Samhwa’s chief executive officer. The company aims to become “the partner of choice for major luxury brands globally”, he added.
KKR is making the investment primarily from its Asian Fund IV and K-Series funds. Hi Joo Hong, a director in KKR’s private equity division, said Samhwa represents “a prime example of a differentiated packaging supplier at the heart of the K-Beauty ecosystem.”
“KKR’s investment underscores its focused and selective approach of supporting leading Korean businesses in their growth strategy, including global expansion,” Hong said.
The acquisition adds to KKR’s expanding portfolio of Korean investments, which includes fashion e-commerce platform MUSINSA, energy company SK E&S, and automotive parts maker LS Automotive, among others.
KKR is in the market with its latest Asia-Pacific flagship fund. The new vehicle, KKR Asian Fund V, follows the record $5-billion raised in 2021 for the predecessor fund.
TPG, which invested in Samhwa in 2023, supported the company’s transformation from a family-owned business into a leading cosmetic packaging enterprise with a focus on premium products.
“We are proud to have been part of Samhwa’s journey, building a strong platform that will enable sustained growth while creating value through driving new product innovation,” said Scott Yoon, business unit partner at TPG Capital Asia.
