[Edaily Reporter Kim Hyung-il ] Korea Investment & Securities assessed that Rejuran Cosmetics ( PharmaResearch(214450)) is expanding into the Chinese market through a strategic partnership with Chinese cosmetics company Chicmax (CCM), and maintained its “Buy” rating and target price of 470,000 won.

On the 22nd, Kang Eun-ji, an analyst at Korea Investment & Securities, explained, “PharmaResearch and CCM plan to establish a joint venture in the future to maximize synergies,” adding, “They are discussing various measures not only regarding the supply of finished Rejuran Cosmetic products by PharmaResearch but also the development of localized products and brand utilization.”

On the 21st, PharmaResearch signed a Memorandum of Understanding (MOU) with CCM for strategic cooperation aimed at expanding the Rejuran Cosmetics brand into the Chinese market. Founded in 2002, CCM is a company specializing in investments in cosmetics brands. It has built a portfolio spanning six core business segments: skincare, customized care for mothers, infants, and adolescents, personal care, color cosmetics, derma cosmetics, and premium skincare.

Analyst Kang projected that PharmaResearch’s cosmetics business will continue its growth momentum in the second half of the year. In the first half of this year, domestic cosmetics sales reached 31.9 billion won and export sales reached 70.4 billion won, representing year-over-year increases of 45.2% and 91.8%, respectively. He forecast that domestic sales will reach 35.4 billion won and export sales will reach 80.9 billion won in the second half.

He analyzed that domestic sales grew evenly across Olive Young, foreign group tourists, and pharmacies, driven by the brand power of Rejuran, while exports continued to grow through entry into Sephora’s offline channels and expanded access to online channels in Southeast Asia. In the second half of the year, the company is expanding its distribution channels by entering Coupang in Korea and Costco in the U.S.

Researcher Kang assessed, “Both the domestic and international medical device and cosmetics businesses are showing clear growth trends.” He added, “The Skin Booster business is maintaining steady domestic growth despite the emergence of extracellular matrix (ECM) skin boosters, while exports are growing through expanded entry into Europe and the strengthening of distribution networks in existing markets.”

Regarding the cosmetics business, he added, “In addition to strengthening cosmetics production capabilities through the acquisition of CG USA and the announcement of a collaboration with CCM, we can also expect synergistic effects from CVC Capital’s expanded investment in the Korean beauty industry.”