Revolution Beauty reviews takeover offers as sale process advances

Revolution Beauty is currently reviewing proposals from a number of interested parties after putting itself up for sale last month.

The brand is evaluating the offers but said that there was "no certainty" a full offer would be made.

"The board of the company confirms it has received proposals from a number of parties, which the board, together with its financial adviser, is currently evaluating and which may then result in further access to diligence materials being granted," Revolution Beauty confirmed in an update.

"Current discussions may be altered or terminated at any time and, accordingly, there can be no certainty that an offer will be made for the company, nor as to the terms on which any offer may be made.

"In addition, the company continues positive engagement with its shareholders, including in respect of an equity raise, and is making encouraging progress on its cost structure and go to market strategy."

It follows the announcement that Mike Ashley’s Frasers Group is considering a takeover of Revolution Beauty.

The British beauty company formally put itself up for sale last month after being approached by an unnamed suitor.

The business, which sells online and through concessions, had recently seen its shares slide to an all-time low in the face of tumbling sales.

Bosses had previously told investors they were reviewing its funding options before its current £32 million credit facility expires in October.

In May, Revolution Beauty reported its sales dropped by 26% to £141.6 million for the year to 28 February, compared with a year earlier.

It said this came after the brand reduced the size of its product portfolio while it was also affected by weakness in the US and online channels.

The company has faced a torrid few years amid leadership and accounting issues, including a dispute with its former boss and a tussle with one of its shareholders, fashion firm Debenhams, under its previous Boohoo Group name.