TSG Consumer Partners has acquired a minority stake in Huda Beauty, a cosmetics branded founded by Huda Kattan in 2013.
Huda Beauty’s product line began with false eyelashes and has expanded since founding to include a full range of beauty products including lip contours, liquid mattes, lashes, and eyeshadow palettes. The company’s products are sold online at ShopHudaBeauty.com and also through major retailers such as Sephora, JC Penney, Harrods, Selfridges, and Cult Beauty. Huda Beauty is based in Dubai, UAE (www.hudabeauty.com).
“TSG understands exactly who we are as a brand and values our authenticity and close relationship with our customer,” said Ms. Kattan. “Huda Beauty has evolved from our beginnings as a nimble startup, and now enjoys sustained, exponential growth and we trust TSG to help us build on this momentum by expanding product assortments and distribution in the most thoughtful way.”
Ms. Kattan has become a top beauty influencer with a social media following of over 27 million people and was named one of Forbes’ “Top 2017 Influencers in Beauty” and TIME’s “Most Influential People On The Internet”. “We feel incredibly honored to partner with Huda Kattan and her team,” said Colin Welch, a Managing Director at TSG. “We’ve invested in the beauty sector for over ten years and have seen a marked shift in the way consumers engage with brands. Consumers today want an authentic connection with a founder and to feel as though they are part of something much larger than themselves. Huda’s unprecedented social community enables them to do just that.”
TSG Consumer Partners makes control and non-control investments of $15 million to $100 million in companies with EBITDAs of $3 million to $50 million where there is an opportunity to create value by extending brand, expanding distribution and improving operations. Sectors of specific interest include the food, beverage, restaurant, beauty, personal care, household, apparel & accessories, and ecommerce sectors. The firm has $5 billion of assets under management and is headquartered in San Francisco (www.tsgconsumer.com).
“Huda Beauty’s unrivaled digital reach, global influence and best-in-class product offering help women worldwide look and feel their best every day,” said Hadley Mullin, a Senior Managing Director at TSG. “We are thrilled to join forces with Huda Beauty, which is poised for significant global expansion, fueled by Huda’s passion and commitment to her ever-expanding consumer community.”
Financo (www.financo.com) was the financial advisor to Huda Beauty and Moelis & Company (www.moelis.com) was the financial advisor to TSG.
© 2017 Private Equity Professional | December 14, 2017
