CINCINNATI (AP) -- Procter & Gamble Co. said Wednesday that is has acquired Nioxin Research Laboratories Inc., a manufacturer of professional scalp care products for thinning hair.
Financial terms of the agreement were not released.
Cincinnati-based P&G said Nioxin's products that treat the scalp to improve the appearance of thinning hair are sold in salons and salon stores in more than 40 countries. The consumer products giant said the Lithia Springs, Ga.-based company fits with P&G's strategy of focusing on faster growing, higher margin and more asset-efficient businesses in its beauty segment.
"This acquisition is a great strategic fit given P&G's leadership and proven strength in its retail scalp care business," said Robert Jongstra, president of P&G Professional Care.
P&G's retail haircare brands include Head & Shoulders and Herbal Essences.
The acquisition also fits P&G's strategy of expanding its salon products, said Kevin Otero, general manager of P&G Professional Care for North America.
Brian Graham, current Nioxin chief executive, will continue to lead the business, P&G said.
Graham said the companies' combined expertise in hair and scalp innovation will serve as a platform for future collaboration on offerings for consumers
Eva Graham founded the privately held Nioxin Research Laboratories in 1987.
Shares of P&G climbed 95 cents in trading Wednesday to close at $71.42.