Business
NEXGEL Acquires Kenkoderm Psoriasis Skincare Line
Acquisition expands NEXGEL’s health and wellness consumer product portfolio Synergies support optimization of marketing and supply chain operations to drive
About this update from Nexgel, Inc
[{"type":"text","content":"Acquisition expands NEXGEL’s health and wellness consumer product portfolio Synergies support optimization of marketing and supply chain operations to drive revenue growth and margins Kenkoderm for the trailing twelve months is profitable and expected to be immediately accretive to NEXGEL LANGHORNE, Pa., Dec. 05, 2023 (GLOBE NEWSWIRE) -- NEXGEL, Inc. (“NEXGEL” or the “Company”) (NASDAQ: “NXGL”), a leading provider of ultra-gentle, high-water-content hydrogel products for healthcare and consumer applications, today announced the acquisition of Kenkoderm, a privately-owned skincare product company focusing on treating the symptoms of Psoriasis, effective December 1, 2023. The Kenkoderm skincare line was originally developed by a dermatologist to provide alternative treatments for psoriasis that did not use steroids or biologics that often have side effects. Today, Kenkoderm has six stock keeping units (SKUs) including cream, salt soap, mud soap, shampoo, conditioner and multivitamin. The Kenkoderm products are sold primarily direct-to-consumer through e-commerce and Amazon, with a significant portion of revenue derived from subscription bundles. Kenkoderm, for the trailing twelve months is profitable and expected to be immediately accretive to NEXGEL. Adam Levy, NEXGEL’s Chief Executive Officer, commented, “The Kenkoderm brand fits perfectly with our health and wellness line of products. Together, we believe there are immediate synergies to support the optimization of marketing and supply chain operations to not only continue growing their brand, but also drive further profitability. We will immediately implement our marketing strategies while opening new distribution channels including going to retail. Our team will continue to evaluate further accretive acquisitions that fit within the platform we have built at NEXGEL.” Eric Jones, President of Kenkoderm, stated, “Our entire team has worked tirelessly to bring to market a variety of skincare products, with less side effects, to the millions of those that suffer with psoriasis today. We are proud to have built our brand and loyal customer base to date and strongly believe that NEXGEL is the perfect partner to assist us on continuing our growth trajectory.” Transaction details For details relating to the Kenkoderm transaction, please see the Company’s Form 8-K filed with the Secur...