e.l.f Beauty Acquires Skin Care Brand Naturium
e.l.f. Beauty is acquiring Naturium for $355 million in stock and cash, closing on September 30, 2023.
“Naturium aligns with e.l.f. Beauty’s vision to create a different kind of beauty company with brands built to disrupt norms, shape culture, and connect communities through positivity, inclusivity, and accessibility," said Tarang Amin, e.l.f. CEO.
In August, e.l.f. Beauty raised its Fiscal 2024 outlook after posting quarterly net sales growth of 76%, hitting 18 consecutive quarters of more than 20% sales growth on average.
The company sees significant white space in the skincare market, Amin said in its most recent earnings call, and they expect this deal to double its presence in skin care to around 18% of retail sales.
Naturium has turned heads for its affordably priced body wash products, several of which have gone viral on social media. These products also align with e.l.f.’s digital marketing strategy, which has seen the company be heavily experimental through gaming, music, and video.
Naturium has experienced net sales growth of approximately +80% CAGR over the last two years, with roughly $90 million of net sales expected in 2023. “We’ve built an incredible brand, with numerous superstar formulas, a dedicated community, and a world-class team in less than four years,” said Susan Yara, founder of Naturium.
Natrium products can currently be found at Amazon, selected international retailers, naturium.com, and Target, where it is one of its fast-growing skincare brands and was named Beauty Vendor of the Year in 2022.
“Naturium has built something special,” continued Amin. “With efficacious products at accessible price points and a community-first mindset, Naturium reminds me of where e.l.f. was when I became CEO over nine years ago. Naturium demonstrates the same spirit, values and growth characteristics we find in e.l.f.”
e.l.f. Beauty will continue to operate the Naturium brand out of its Los Angeles headquarters, keeping the brand’s current employees in place.
