Eurazeo Brands has acquired a minority stake in Pat McGrath Labs for US$60 million. Terms of the deal were not disclosed but industry analysts suggest that the investment would amount to a 5 to 8 percent stake in the make-up artist’s beauty business, which is valued at approximately US$1 billion.
The new capital will be piled into the expansion of the brand’s US distribution as well as meeting increasing demand worldwide.
“We are honoured to be working with Pat, whose vision, talent and trailblazing history in the beauty industry have set Pat McGrath Labs up to be one of the most authentic and innovative make-up brands to ever come to market,” said Jill Granoff, CEO of Eurazeo Brands. “We’re excited to combine our experience of building global beauty and fashion brands with Pat and her team’s unmatched creativity and passion.”
Virginie Morgon, CEO of Eurazeo, added, “We look forward to joining Pat McGrath Labs on its global journey to reach millions of new consumers who have followed the brand for years. We love to partner with brilliant entrepreneurs like Pat and believe this investment will be a success.”