The acquisition also marks Daiichi Sankyo Healthcare’s entry into the sports nutrition market. Its main business is in OTC medicines, spanning across allergy, cold, gastrointestinal conditions and painkillers etc.
Established in 2000, DNS is known its protein powders and drinks.
It has been owned by Nippon Sangyo Suishin Kiko affiliates (NSSK II) – an investor from August 2020 up until last month when the brand was sold to Daiichi Sankyo Healthcare. Prior to that, DNS was owned by DOME Corporation, the exclusive distributor of sports apparel brand Under Armour in Japan.
Daiichi Sankyo Healthcare said it was keen in acquiring DNS’ sports nutrition business as it was optimistic about continued growth of protein supplements in Japan.
“The domestic market for protein supplements is expected to see sustained growth due to rising health consciousness and an increase in the number of people playing sports,” said Nao Kamiyoshikawa, person in charge of public relations at Daiichi Sankyo Healthcare.
She revealed that the company has been interested in DNS for several years.
“We had received this opportunity from the Japan Industrial Promotion Organization group and expressed our interest.
“By taking over DNS, which is well-known and supported by many top athletes, we will strengthen the food and exercise fields that are essential to health and contribute to improving the quality of life of consumers,” she said.
Sales of DNS were in the low billion-yen range last year, and Kamiyoshikawa said that the company was expecting it to be higher this year.
For a start, it will tap on its marketing capabilities to strengthen sales of DNS’ products on e-commerce – including the firm’s and third-party e-commerce channels.
According to its website, DNS’ bestsellers include EAA Pro which consists of the nine essential amino acids, Whey Protein SP chocolate flavor, Vitamin Super Premium tablets,
Further down the road, it will also consider providing protein products not only for sports, but also for general health purposes.
The company has also set up the DNS Business Unit to promote the planning and sales of sports nutrition products.
The unit is spearheaded by Jun Okamoto, general manager of DNS Business Department, Brand Promotion Division.
According to Dr Seiji Aoyagi, representative director of the International Society of Sports Nutrition (ISSN), although sports nutrition is not a big market, it has been growing, especially for protein products.
About seven in 10 protein products are for sports, he said previously, adding that amino acids were also gaining traction.