In a deal valued as much to $1 billion (£740 million), model Hailey Bieber is selling her makeup line, Rhode, to e.l.f. Beauty. The 28-year-old, who is married to musician Justin Bieber, gave the skincare business her middle name in 2022 after co-founding it. The collection includes lip and cheek tints.
Its popularity on the internet has helped it grow quickly; in the 12 months ending in March, it generated over $200 million in net sales. This year, it will be available at Sephora stores in the US and the UK. Buyer e.l.f. Beauty described the company as “a beautiful brand that we believe is ready for rocketship growth” while announcing the sale.
The firm is receiving $800 million in cash and shares from e.l.f., which stands for eyes, lips, and face. Depending on future sales growth, a further $200 million payout may be conceivable. Later this year is when the deal is anticipated to conclude.
The sale was the “next chapter” for the brand, according to a social media post by Ms. Bieber, who will remain with the firm as chief creative officer. Following the sale, current CEOs and other co-founders will still be in charge of the company.
“Our collaboration with e.l.f. Beauty marks a fantastic chance to advance and expedite our ability to connect with more of our community with even more innovative products and widen our distribution globally,” she stated in the company’s press release.
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