Splash inks pact with Malaysian firm

MANILA, Philippines - Local personal care and cosmetics manufacturing giant Splash Corp. has further stepped up its presence overseas with the signing of a new distributorship agreement with a Malaysian firm to distribute its products under flagship brands, Maxipeel and SkinWhite.

In a disclosure to the Philippine Stock Exchange (PSE), Splash said the agreement was entered into by its wholly-owned unit Splash International and Carepro Marketing, whose distribution coverage includes a network of chain pharmacies, personal care stores, hypermarkets, supermarkets and beauty salons in West Malaysia.

Splash chairman and chief executive officer Rolando Hortaleza said this new tie-up is expected to boost the company’s sales, expand its market reach and strengthen its position in the ASEAN region. “We are very optimistic about our Malaysian market. Our presence in West Malaysia is a very big move in increasing our market base,” Hortaleza said.

Under the plan, Splash products will be initially available in 10 Mydin Hypermarket stores in Kuala Lumpur, Malaysia and eventually in all 29 Mydin stores in West Malaysia. Kuala Lumpur is the largest city in Malaysia.

The company’s products are currently sold in East Malaysia, particularly in Kotah Kinabalu, the capital of Sabah via a partnership with Rejoice Moments Sdn Bhd. 

Splash is hoping to tap the tap the vast potential in the ASEAN market given a growing emerging market consumer class and rising disposable income.  People may have put on hold big-ticket purchases during this global economic slowdown but they’re still willing to pay for beauty.

“Our aim is to build brand equity for a strong presence in Malaysia. We want to become a strong player in the personal care industry in ASEAN and Malaysia is a key component in our strategy,” Hortaleza said.

Splash is currently present in over 30 countries through its distributors and local exporters. These countries include Algeria, Australia, Bahrain, Canada, Egypt, Hong Kong, India, Indonesia, Iran, Japan, Jordan, Korea, Kuwait, Lebanon, Malaysia, Nigeria, Oman, Pakistan, Qatar, Saudi Arabia, Singapore, Sudan, United Arab Emirates, Vietnam and the United States. This international distribution contributes to 15 percent of the company’s total net sales.