Syneron to develop home-use line with P&G
Syneron will lead R&D and production; Procter & Gamble will handle marketing and distribution.
Tali Tsipori 27 Feb 07 18:44
For a long time, especially at investors conferences, Syneron Medical Ltd. (Nasdaq: ELOS) has reiterated that one of its main growth engines would be home-use electro-optical synergy (ELOS) technology-based skin treatment products. The company today took another important step towards this goal with the announcement it had signed a an exclusive joint development and supply agreement with The Procter & Gamble Company (NYSE:PG) for the commercialization of patented, ELOS-based, home-use devices and compositions for the enhancement of skin appearance through the treatment of fine lines, wrinkles, age and sun spots, and cellulite.
Syneron, founded by chairman Dr. Shimon Eckhouse, is traded at a market cap of $688 million. The share rose 8% when the market opened today. Procter & Gamble, which is on the Dow Jones Index, has a market cap of over $200 billion.
Syneron said, “P&G selected ELOS technology as its preferred, non-invasive, energy-based solution for home-use aesthetic treatments in this field. Under the terms of the agreement Syneron will lead the research, development and manufacturing while P&G will focus on the development of the compositions, marketing, and distribution. The home-use devices will be marketed under the P&G family of skin care products and will be co-branded with Syneron's elos technology. P&G and Syneron plan further collaboration that could lead to commercializing additional products in the future.”
Published by Globes [online], Israel business news - www.globes.co.il - on February 27, 2007
