[THE INVESTOR] Hugel said on Nov. 16 it will streamline its operations and enhance efficiency by merging with its medical device and marketing units, marking the first major strategic move by US private equity firm Bain Capital which has majority stake in the Korean botulinum toxin maker.

Its wholly owned subsidiaries Hugel Pharma and Hugel Meditec will merge with the parent company to form a single entity by Jan. 31, 2018, according to Hugel. 

Hugel Pharma has a Korean sales network spanning around 5,000 hospitals and clinics handling dermatologic and cosmetic surgeries. Hugel Meditec is a wholesaler and importer of brain monitoring and treatment medical devices.

“We expect the merger to have a positive impact on Hugel’s brand as well as its financial operations,” a Hugel official said.

The shakeup marks Bain Capital’s first official restructuring action as a part of a post-merger integration program after becoming the largest shareholder of the company in July. 

Bain Capital invested US$816 million to acquire a 40 percent stake in the Korean company, one of leading players in the country’s botulinum toxin market share with its flagship wrinkle treatment Botulax.

By Park Han-na (hnpark@heraldcorp.com)