Rhode to be acquired by Elf Beauty for $1 billion
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Rhode to be acquired by Elf Beauty for $1 billion
Hailey Bieber’s beauty and skincare brand Rhode has been acquired for $1 billion by Elf Beauty. Bieber will continue her role as founder while expanding her remit as Rhode’s chief creative officer and head of innovation. She tells Vogue that even before she met with the team, she had admired their marketing campaigns and disruptive strategy within the beauty space.Elf Beauty CEO Tarang Amin describes the partnership as the “perfect marriage”
Hailey Bieber’s beauty and skincare brand Rhode has been acquired for $1 billion by Elf Beauty, pending approvals, marking one of the most high-profile beauty deals in recent years. Announced today, the acquisition comes just two months after it was reported in April that the brand hired JPMorgan Chase to oversee the sale.
“Finding a home for Rhode was a really scary process, but as soon as I met the Elf Beauty team, I could tell they had such a strong sense of community and that spoke volumes to me because I know how I feel about our Rhode community,” says Bieber. She tells Vogue that even before she met with the team, she had admired their marketing campaigns and disruptive strategy within the beauty space. “I could have gone to a table of suits (referencing brand suitors), but Elf Beauty’s partnership offering was different,” she says.
Bieber will continue her role as founder while expanding her remit as Rhode’s chief creative officer and head of innovation, overseeing creative, product innovation and marketing. She will also act as a strategic advisor for both Rhode and Elf Beauty. “[The position] expands my role into the world of beauty even more, and I just want to continue being a force in the space globally,” Bieber explains.
Elf Beauty CEO Tarang Amin describes the partnership as the “perfect marriage”. Rhode will join the group’s existing portfolio, which consists of skincare brand Naturium (acquired in August 2023 for $355 million, according to the brand), singer Alicia Keys’s Keys wellness brand, Soulcare (acquired in 2020 for an undisclosed amount) and makeup brand Well People, which the beauty group acquired in 2020 for $27 million, per brand records.
Hailey Bieber Sells Rhode to e.l.f. Beauty for $1 Billion
Hailey Bieber sold her skincare brand to e.l.f. Beauty for $1 billion. The deal includes $800 million in cash and stock. Bieber will remain Chief Creative Officer and Head of Innovation at Rhode. She will also work as a strategic advisor for e.L.F. Beauty.
Hailey Bieber is on the rhode to going global.
The 28-year-old has officially sold her Rhode Skin company to e.l.f. Beauty for $1 billion, the cosmetics brand confirmed in a May 28 press release.
The acquisition is comprised of $800 million in cash and stock provided to Rhode owners—including CEO Nick Vlahos, Bieber and her cofounders Lauren Ratner and Michael D. Ratner—at the deal’s closing, in addition to an additional $200 million of potential earnout based on “future growth of the brand over a three-year timeframe,” per the release.
Following the announcement, Hailey—who will remain Chief Creative Officer and Head of Innovation at Rhode, as well as work as a strategic advisor for e.l.f.—reflected on how much she’s achieved with her skincare brand since launching it in 2022 and why teaming up with e.l.f. felt like a good fit.
“I always had big dreams for the company, and the most important thing to me is to keep bringing rhode to more spaces, places, and faces globally,” Hailey wrote in a May 28 Instagram post. “So, today I am so incredibly excited and proud to announce that we are partnering with e.l.f. Beauty as we step into this next chapter in the world of rhode.”
Source: https://www.voguebusiness.com/story/beauty/rhode-to-be-acquired-by-elf-beauty-for-dollar1-billion