The Estée Lauder Companies has announced the acquisition of high-growth make-up brand Becca Cosmetics. The deal is expected to close in November 2016.
Following the announcement that an agreement had been signed, The Estée Lauder Companies President and Chief Executive Officer Fabrizio Freda described Becca Cosmetics as “a wonderful addition to our portfolio of prestige beauty brands”.
First launched in 2001 by Australian make-up artist Rebecca Morris-Williams, Becca Cosmetics has been led by President and CEO Robert DeBaker and CFO/COO James MacPherson since 2011 and has been part of Luxury Brand Partners’ portfolio since 2012.
Although Becca Cosmetics’ biggest market is currently North America, it is at present working on a strategic global expansion with speciality retailer Sephora across Southeast Asia, Europe and the Middle East. It also has a strong social media presence with over one million followers on Instagram. The Estée Lauder Companies is expected to build on this expansion with a global growth strategy including online and digital.
Becca Cosmetics has a portfolio of products including: primers, concealers, foundations, blushes and highlighters. With its mantra of ‘perfect skin for all’ it is particularly known for offering complexion products in a wide range of shades to suit all ages and ethnicities.
In 2015 the brand created Shimmering Skin Perfector Pressed in Champagne Pop which became the top-selling luminiser of the year in the US.
The Estée Lauder Companies Executive Chairman William Lauder noted: “The Becca philosophy of inclusive beauty is a terrific match for The Estée Lauder Companies. One of our leading strengths is the ability to identify brands with unique positioning and nurture them to realise their full growth potential. We are so pleased to partner with Bob [Robert DeBaker] and Jim [James MacPherson] to continue this legacy, and we welcome them and their team to our family.”
Bob DeBaker commented: “The Estée Lauder Companies is the ideal home for Becca. The company has the scale and vision to help elevate Becca to its next phase of growth while encouraging us to continue to build our unique brand equity. We believe that beauty products should reflect a diverse range of skin tones and help all women create a naturally beautiful, yet individual look.”
The Estée Lauder Companies Executive Group President John Demsey will oversee Becca Cosmetics.
In drawing up the agreement, The Estée Lauder Companies received financial advice from UBS, with Lowenstein Sandler LLP serving as legal counsel. Becca Cosmetics received financial advice from Piper Jaffray and legal counsel from Greenberg Traurig.
Terms of the deal were not disclosed.
