Elf Beauty buys Haley Beaver road skincare brand for $1 billion
Model and entrepreneur Haley Lord Bieber came up with the idea for $1 billion. And now the beauty of the Cosmetic Titan Elf is paying for its total to win it. On Wednesday, ELF Beauty announced that it would acquire Rhode Lifestyle Brand, founded by Bieber, and pay $800 million in cash and shares at closing, plus an additional $200 million in acquisition based on Rhode’s growth over the next three years.
Bieber, who married singer Justin Bieber and daughter of actor Stephen Baldwin, launched Road in 2022.
Lord is the “destroyer of beauty space,” said Elf Beauty CFO Mandy Fields. luck. “Haley built a brand that went from zero to $222 million in under three years.”
Focusing on makeup and skincare, Lord has built a strong business for consumers. The brand was launched in three core products: peptide glazing solution, barrier restoration cream and peptide lip treatment, and has since expanded its offering.
Lord’s social media topics are specific, with over 3 million followers Instagram. load Generated $248 million According to influencer marketing tool Creatoriq, the media value acquired (EMV) in 2024 was an increase of approximately 366% year-on-year. Beaver’s Individual Instagram account He has 54 million followers.
Rhode’s products are currently available at Rhodeskin.com, with plans underway to launch the first physical store partnership Sephora Later this year, we will be in the country throughout North America and the UK.
In the cosmetics world, Lords are thought to be in the entry-level prestige category, but the beauty of the elves is a larger market. The acquisition of Rhode will help diversify ELF Beauty’s customer base, channels and supply chains, Fields said. Roads produces in the US, Asia and other parts of Europe. “There’s a disciplined approach to M&A,” Fields explained. The company acquired skincare brand Naturium in 2023 for $355 million, doubling Elf Beauty’s presence in skincare.
“Lord will further diversify its portfolio with the rapidly growing brands that have come to do its best for Prestige,” ELF Chairman and CEO Tarang Amin said in a statement.
The beauty of the elf Favorite brand It has gained popularity among Gen Z among Millennials and Gen X. The company also works with actress Jennifer Coolidge and singer Meghan trainers Alicia Keys and Manuel Turizo.
Bieber will continue as founder, serving as Lord’s Chief Creative Officer and Director of Innovation, overseeing creative direction, product innovation and marketing. “I look forward to steering the brand into this exciting new chapter of possibilities with my co-founders Michael D. Ratner and Lauren Ratner,” she said.
Earlier this year, Beaver tapped an investment banker jpmorgan chain Moelis to find Cosmetics brand buyers, According to the report. Sales of beauty brands featured in celebrities Over 1 billion dollars In 2023, it represented a growth of 57.8% year-on-year, exceeding the overall growth rate of the beauty industry.
This story was originally introduced Fortune.com