Estee Lauder Builds Natural Brands Portfolio with Acquistion of Hair Care Company Ojon

Estee Lauder acquires Canadian natural hair care company, Ojon.  Buying into the brand taps into the fast-growing market for premium hair care products containing exotic natural ingredients. Ojon products benefit from ingredients collected by the Tawira, an indigenous people from the Central American rainforests, mainly inhabitants of Honduras.

The Tawira produce Ojon palm nut oil, an ingredient derived from the Ojon tree and one that is said to strengthen, moisturize, bring shine and reduce hair follicle breakage - forming the basis of the company's hair care range.

To source its ingredients, Ojon has partnered with the Mosquitia Pawisa Agency for the Development of the Honduras Mosquitia (MOPAWI Organization), a local non-profit group that works on behalf of indigenous communities in the region. Through its contract with the MOPAWI, Ojon purchases wild-crafted palm nut oil and other ingredients from thousands of Tawira producers, who collect the ingredients in a hand-crafted process consistent with ancestral practices.

The ingredients, largely palm oil and cacao, are then sent to Originitalia, a plant in northern Italy, where they are purified and blended into Ojon products.

"Natural and organic products are among the fastest growing areas in the beauty industry and Ojon has a compelling story that we believe should resonate with consumers globally," said Philip Shearer, Group President of The Estee Lauder Companies.

"Ojon is a terrific strategic fit in our portfolio," William P. Lauder, President and Chief Executive Officer of The Estee Lauder Companies, said. "It's a socially responsible, innovative company with potential for rapid and sustained world-wide growth. We envision Ojon eventually becoming a global brand of wild-crafted, natural products made with ingredients found in indigenous communities around the world."

Ojon's range includes shampoos, conditioners and other treatments that focus on treating dry or out-of-condition, by restoring its moisture levels and in turn returning shine and texture to the hair.  It includes a restorative hair treatment, ultra-hydrating conditioner and shampoo and a shine and protection glossing mist.

"I have been in the business 18 years and have always looked at Estée Lauder as the most prestigious cosmetic company," said Ojon founder & president Denis Simioni. "Ojon is like my child that grew up too fast and now needs a great university to take it to the next stages of its life. We believe that Estée Lauder will do that for Ojon by educating us and giving us what we need to take us to the next level. It doesn't get any better than this!"

Before the Estee Lauder deal Ojon was a privately held company based in Burlington Ontario with $48 million in revenue, said Simioni, who will remain president of the company.

Currently Ojon sells its products on QVC in the US and UK and the Shopping Channel in Canada, where it ranks number one in hair care as well as Sephora and Nordstrom and about 300 hundred spas and salons.

The Ojon line is similar in many ways to another Estee Lauder brand, Aveda.  It will be interesting to see what influence if any John Delfausse, Vice President, Package Development at Estée Lauder has on future packaging design of Ojon products.  Delfausse is widely credited with transforming Aveda's packaging into one of the most sustainable in the industry.