In Review 2025: The major M&A deals in beauty
The beauty industry experienced a whirlwind of high-profile mergers and acquisitions in 2025. From billion-dollar transactions to strategic acquisitions of cult-favourite brands, this year underscored the sector’s dynamic evolution.
Major deals saw established conglomerates like L’Oréal, Unilever, and Kering expand their prestige offerings, while nimble investors and private equity firms capitalised on viral, founder-led brands.
As the year comes to a close, TheIndustry.beauty highlights 2025’s biggest deals, from Ulta Beauty’s acquisition of Space NK and the $1 billion sale of Rhode to L’Oréal’s takeover of Medik8 - and many more.
US giant Ulta Beauty acquires Space NK
In major news this year, Ulta Beauty acquired Space NK from its owner, Manzanita Capital. It came after the company launched a formal sale process for the British beauty chain in May. One source indicated the deal was likely to have exceeded £300 million..
Kering sells beauty division to L’Oréal
Kering and L’Oréal formed a long-term strategic partnership in luxury beauty and wellness. The company acquired Kering Beauté, including the House of Creed, and receive 50-year exclusive licenses to create and distribute beauty and fragrance products for Gucci, Bottega Veneta, and Balenciaga. Both companies will also establish a joint venture focused on luxury, wellness, and longevity.
Hailey Bieber sells Rhode to E.l.f. Beauty in landmark $1bn deal
Hailey Bieber gave beauty a billion-dollar moment in May, selling her viral skincare and colour cosmetics brand Rhode to Naturium owner E.l.f. Beauty in a blockbuster deal valued at $1 billion. As part of the deal, Bieber stepped into an expanded role as Chief Creative Officer and Head of Innovation. She also acts as a strategic advisor to the US-based group.
Boots splits off from Walgreens after private equity takeover
Boots was spun off from its US parent company, Walgreens Boots Alliance, following a private equity takeover. Sycamore Partners completed its $10 billion (£7.4 billion) acquisition of WBA in August 2025, confirming that the international operations would be separated, creating The Boots Group.
L’Oréal acquires skincare giant Medik8
Following rumours of a potential deal, L’Oréal acquired British skincare brand Medik8 from London-based private equity firm Inflexion. The brand joined forces with L’Oréal’s Luxe Division after signing an agreement that sees its founder, management and private equity partner, Inflexion, remain involved in the running of the business.
Unilever sells Kate Somerville as prestige reshuffle continues
Unilever announced the sale of luxury skincare brand Kate Somerville to Rare Beauty Brands, continuing the ongoing streamlining of its Prestige Beauty portfolio. The deal transferred ownership of the brand and its Melrose Place clinic in Los Angeles to the Massachusetts-based company, known for its portfolio of fast-growing, founder-led beauty brands.
L’Oréal snaps up cult hair brand Color Wow
L’Oréal acquired Color Wow, the prestige brand that’s been making waves both in salons and on social media. The deal marked a major expansion of L’Oréal’s professional portfolio, adding one of the fastest-growing brands in the category to its arsenal.
Phlur acquired by TSG Consumer Partners
Phlur, the fragrance brand founded by influencer and blogger Chriselle Lim, was acquired by private equity firm TSG Consumer Partners. Lim continues as Creative Director and retains a stake alongside The Center, a beauty accelerator that partnered with Phlur in 2021.
Unilever acquires Wild, bolstering growth plan
Following rumours of a potential deal, Unilever acquired plastic-free personal care brand, Wild. The strategic addition to Unilever’s existing personal care brands marked another step in the optimisation of its portfolio towards premium and high growth spaces as part of the company's growth plan.
Bansk Group secures majority stake in British brand Byoma
Private investment firm Bansk Group entered into a definitive agreement to acquire a majority stake in viral skincare brand Byoma. The majority stake was acquired from US-based private equity firm Yellow Wood Partners. Byoma continues to be led by its founder and CEO, Marc Elrick, alongside its existing leadership team.
Bodycare rescued by former The Body Shop CEO
An investor group led by businessman Charles Denton, known for overseeing The Body Shop’s recent turnaround, acquired selected assets of the collapsed retailer Bodycare. The acquisition included Bodycare’s brand and intellectual property, forming the foundation for a phased revival of the business.
Skin Sapiens acquired by BEAUTYPRO ahead of global expansion
British brand BEAUTYPRO acquired Skin Sapiens for an undisclosed sum, marking an "exciting new phase" in its expansion strategy. Following the acquisition, BEAUTYPRO is focusing on expanding the brand's distribution, refining digital marketing strategies and entering new global markets.
Unilever acquires men’s grooming brand Dr. Squatch amid wider strategic overhaul
Unilever acquired Dr. Squatch, the personal care brand renowned for its natural formulations and playful tone. The consumer goods giant purchased the brand from growth equity firm Summit Partners, marking a continued shift toward premium personal care.
Huda Beauty sells fragrance line KAYALI
Huda Beauty sold its ownership in fragrance brand KAYALI to its co-founder Mona Kattan and growth equity firm General Atlantic. The partnership provides the resources and expertise to accelerate the brand’s evolution while maintaining its authenticity, creativity, and deep connection with its community.
Spabreaks.com acquired by Excalibur Group to accelerate expansion
Spabreaks.com was acquired by Excalibur Group as part of its strategy to accelerate growth and unlock new opportunities for both the business and its spa partners. Excalibur Group, a diversified holding company with a portfolio of consumer brands including Wowcher and LivingSocial, aimed to strengthen its market position through the acquisition of Spabreaks.com.
