Amityville, NY — Topix Pharmaceuticals, Inc., a leading provider of premium, micro-branded and branded skincare products, announces it acquired DERMA E, the eco-ethical skincare company.
DERMA E, based in Simi Valley, CA, has for nearly 35 years, been providing natural, vegan and cruelty-free products to address a wide range of skincare concerns, with distribution at natural and beauty retailers such as Whole Foods Market, Sprouts Farmers Market, CVS, Walgreens and ULTA Beauty.
The partnership with Topix will provide DERMA E with additional resources to support its category-leading growth while expanding the Topix family of brands, and Topix’s commitment to advancing healthy, beautiful skin, into the increasingly important and high-growth naturals category.
Following the acquisition, DERMA E will continue to operate in Simi Valley, CA and will continue its commitment to providing consumers with the leading portfolio of clinically-supported, natural skincare, according to a company statement.
Topix is backed by New Mountain Capital, a growth-oriented investment firm that currently manages more than $20 billion in assets. New Mountain Capital invested in Topix in July 2016 to provide equity capital for Topix to execute a growth strategy, including both organic and acquisition-led growth.
“We are thrilled to welcome DERMA E into the Topix family,” said Andre Moura, managing director at New Mountain Capital and Chairman of the Topix Board of Directors. “Topix is a leader in the dermatologist market with differentiated innovation and FDA-certified manufacturing capabilities. We look forward to supporting DERMA E and its customers with these resources and believe the partnership will create multiple new avenues of long-term growth for both DERMA E and the broader Topix business.”
“David and I have been on a journey to create affordable and high-quality products from clean ingredients since 1984,” added Dr. Linda Miles, co-founder and president of DERMA E. “We have seen tremendous growth – from offering just a single product to offering over 80 products, spanning facial, body and hair care. We are proud of the success that we have achieved and we look forward to the next chapter of growth for DERMA E with Topix.”
“Topix is an ideal partner to help DERMA E not only accelerate its growth plans but also ensure that the integrity of the brand and its mission remain,” commented David Stearn, Co-Founder and Chief Executive Officer of DERMA E. “Topix is highly regarded amongst dermatologists as a leader in innovative and clinically-validated skincare products and we believe several new opportunities can be opened for DERMA E as a result of this transaction.”
Piper Jaffray & Co. served as exclusive financial advisor to DERMA E and Winston & Strawn LLP served as legal counsel to DERMA E. Lowenstein Sandler LLP provided legal counsel to Topix and New Mountain Capital.