Global investment firm Blackstone (BX.N) is reportedly exploring the sale of its medical-grade skincare company, ZO Skin Health, a move that could value the firm at approximately $2 billion. According to sources familiar with the confidential matter, Blackstone is collaborating with investment bankers from Citigroup (C.N) and Raymond James (RJF.N) to facilitate the potential divestment. The process is understood to be in its nascent stages, with details remaining private. When approached for comment, both Blackstone and Citigroup declined to provide statements, while ZO Skin Health and Raymond James did not immediately respond to requests.
ZO Skin Health is a distinguished medical-grade skincare company, originally established in 2007 by acclaimed dermatologist Dr. Zein Obagi. The brand specialises in developing and offering a comprehensive range of advanced skincare solutions. These products, which include cleansers, potent serums, exfoliators, and toners, are specifically formulated to address various skin concerns and are exclusively distributed through certified physicians and other qualified skincare professionals.
The timing of this potential sale is particularly noteworthy, coinciding with robust market interest in clinically backed, physician-distributed skincare brands such as ZO. Industry observers indicate that many strategic buyers are actively prioritising these specialized products over general consumer offerings. This preference is largely driven by their demonstrated efficacy and the typically steadier, more predictable demand they command when compared to widely available over-the-counter alternatives.
