E.L.F. Buys Rhode: $1 Billion Beauty Deal
- Beauty is set to acquire Rhode, Hailey Bieber's skincare brand, for $800 million in cash and stock, wiht a potential additional $200 million based on future growth.
- chairman and CEO, said Rhode's ability to "break beauty barriers" aligns with E.l.f.
- This acquisition is E.l.f.'s third major move,following the purchases of W3ll People in 2020 and Naturium in 2023.
E.l.f. Beauty makes a major move, acquiring Hailey Bieber’s skincare brand, Rhode, in a deal valued at $1 billion. Teh acquisition includes an initial $800 million payment, with a potential $200 million based on future performance, signaling E.l.f.’s enterprising expansion into the prestige skincare market. Rhode, known for its accessible products, reached $212 million in sales, making it an attractive secondary_keyword for E.l.f. This strategic acquisition is expected to fuel E.l.f.’s impressive growth trajectory and introduce Rhode to a wider audience. Hailey Bieber will continue as chief creative officer. News Directory 3 is closely following the developments. What’s next for this beauty power move?
E.l.f. Beauty Acquires Hailey Bieber’s Rhode for $1 Billion
Updated May 31,2025
E.l.f. Beauty is set to acquire Rhode, Hailey Bieber’s skincare brand, for $800 million in cash and stock, wiht a potential additional $200 million based on future growth. The deal, expected to close in the second quarter, marks a significant expansion for E.l.f. into the prestige skincare market.
Tarang Amin, E.l.f. chairman and CEO, said Rhode’s ability to “break beauty barriers” aligns with E.l.f. Beauty’s vision.The acquisition diversifies E.l.f.’s portfolio with a fast-growing brand known for its accessible prestige products.
This acquisition is E.l.f.’s third major move,following the purchases of W3ll People in 2020 and Naturium in 2023. Rhode, wich generated $212 million in sales through e-commerce and pop-up shops, is preparing to launch in Sephora later this year.
While some analysts question the high valuation given Rhode’s limited product range and three years in business, others highlight the brand’s authenticity and strong community engagement. Dr. Brent Ridge, co-founder of Beekman 1802, praised Rhode’s methodical approach to product advancement.
“e.l.f. Beauty found a like-minded disruptor in rhode… We are excited by rhode’s ability to break beauty barriers, fully aligning with e.l.f.Beauty’s vision to create a different kind of company… rhode is a gorgeous brand that we believe is ready for rocketship growth.”
E.l.f. Beauty has experienced substantial growth, with revenues increasing from $230 million in 2016 to $1.3 billion in fiscal 2025. however, revenue growth slowed in the most recent quarter, making the Rhode acquisition a strategic move to boost future expansion.
Hailey Bieber will remain as Rhode’s chief creative officer and strategic advisor. Nick Vlahos will continue as Rhode CEO, with co-founders Michael and Lauren ratner also staying with the brand.
“We can’t wait to bring rhode to more faces, places, and spaces. From day one, my vision for rhode has been to make essential skin care and hybrid makeup you can use every day.”
What’s next
The acquisition is expected to accelerate Rhode’s product development and market reach, leveraging E.l.f.’s resources and expertise. The success of this partnership is crucial for E.l.f., as it aims to solidify its position as a leading beauty industry disruptor.