L Catterton acquires majority stake in premium brand Stenders

L Catterton, the private equity fund backed by LVMH, has acquired a majority stake in Latvian premium bath and bodycare brand Stenders.

Under the new transaction, Stenders will attempt to accelerate its international expansion across Asia, Europe, the Middle East, and the US, on the back of "secular tailwinds" in the sector.

It comes as trends such as a heightening focus on holistic wellbeing, increasingly sophisticated bath and bodycare rituals, and rising preferences for products made from natural ingredients have encouraged a shift towards premium offerings.

This shift has propelled growth for Stenders, given the brand's standing as a bath ritual expert steeped in Latvia's unique bath culture, which dates back centuries as a practice to not only wash the body, but relax and cleanse the mind.

Stenders draws from its Latvian heritage to create high-quality products inspired by the natural environment in northern Europe.

The brand has a portfolio of over 400 products, which are developed with a focus on safety, sustainability, and functionality. It has a presence in 20 countries across the world.

Underpinned by its growing customer base, its revenue has also risen by around 20% annually over the past four years. Sales are generated through its omnichannel presence spanning more than 300 stores, e-commerce platforms, and its website.

Scott Chen, Managing Partner at L Catterton, said: "Consumers are progressively 'trading up' in the bath and bodycare market and we expect the trend to persist as they further gravitate towards such premium products like they have with facial skincare.

"Having brand values and stellar products that resonate with its target customers, Stenders has been able to astutely capitalise on this shift. There is still ample headroom for further growth and we look forward to working with Stenders to realise our shared goals."

Kristine Grapmane, Chief Operating Officer at Stenders, added: "This partnership will unlock the next stage of growth for us.

"L Catterton has a proven track record of creating value for its portfolio companies and we are keen to tap into its insights as we continue to expand across various geographies.

"Our focus will be on enlarging our presence, further enhancing the productivity of our stores, augmenting our e-commerce business, optimising our manufacturing efficiency, and attracting talent."

Since 1989, L Catterton has made more than 250 investments in brands across all segments of the consumer industry.

Its current and past investments in the beauty sector include Elemis, Function of Beauty, The Honest Company, Merit, Oddity (the parent company of Il Makiage), Tula Skincare, and many more.

Earlier this year, it also invested in Italian cosmetics brand Kiko Milano to further accelerate the brand's global growth.