New York (AP) – Elf Beauty acquired the Hailey Bieber Rhode skin care brand in an agreement of $ 1 billion, companies said.
The Bieber Rhode carried out $ 212 million in net sales during the 12 months which ended on March 31. The company’s products are only available in line, but by the end of this year, it plans to start a store partnership with Sephora in North America and the United Kingdom
Bieber, a model and the Wife of singer Justin Bieberwill be the creative director of Rhode and chief of innovation and also strategic advisor for combined companies.
Under the terms of the agreement, Elf acquires Rhode For 600 million dollars in cash and $ 200 million in ordinary shares newly issued by Elf Beauty ordinary shares. The agreement also includes an additional potential gain of $ 200 million on the basis of the brand’s future growth over three years.
Elf’s actions, based in Oakland, California, jumped 12% before the opening bell on Thursday.
