AS Beauty adds L Catterton-backed Cover FX to its growing brand portfolio in its fourth transaction.
WHO: Cover FX was born in a Toronto clinic specializing in skin issues and sensitivities in 1999 by medical strategist and beauty veteran Lee Graff. The products were developed to treat and cover every skin type using clean ingredients with a loyal following among professional makeup artists, consumers, and the medical community. Cover FX has also established its CosMedic Clinics at several prestigious dermatology institutions throughout North America.
Based in New York, NY, AS Beauty is focused on developing global beauty brands that deliver real-world solutions to a diverse consumer base. Founded in 2019 by Alan and Joey Shamah, the original founders of elf Cosmetics, and Victor and Ralph Azrak, who previously ran and sold an apparel business, the company's current portfolio consists of Julep Beauty, Laura Geller, and Mally Beauty.
WHY: The brand has become stagnant. In 2018, Cover FX was said to be projecting about $65 million in gross sales; now WWD reports industry sources said the brand's retail sales are hovering at around $20 million. AS Beauty sees an opportunity to breathe new life into the business.
IN THEIR OWN WORDS: "The brand is one of the first to sit at the intersection of high-performance color, customization, and skincare. The history, quality, and global shade range that Cover FX has offered for over two decades caught our attention right away," says Ralph Azrak, Chief Operating Officer of AS Beauty. "In the coming years, we will use our resources to fuel innovation and expand our audience. We are thrilled to bring this brand on board and continue to be on the lookout for new opportunities."
DETAILS:
