Fast-fashion e-tailer Boohoo has more than doubled its investment in British brand incubator Revolution Beauty, increasing its stake in the business from 12.9% to 26.5%. The investment comes after Revolution Beauty was forced to suspend trading in September after its auditor, BDO, refused to sign off its accounts, followed by its main lenders HSBC and NatWest hiring Teneo Financial Advisory to monitor the situation and Founder and CEO Adam Minto stepping down.
WHO: Co-founded in 2014 by Adam Minto and Tom Allsworth, Revolution Beauty is a global mass beauty and personal care business that operates via a multi-brand, multi-category strategy, selling its products both direct to consumer via its e-commerce operations and in physical and digital retailers through wholesale relationships. Its products are sold in 11,000 stores in 45 countries.
Manchester-based Boohoo was founded by Carol Kane and Mahmud Kamani in 2006, growing from three employees to a business with sales of more than £1.2 billion last year.
IN THEIR OWN WORDS: Boohoo said in a statement, "The investment builds upon the existing relationship between Boohoo and Revolution Beauty. The investment reflects Boohoo's belief in the growth potential of Revolution Beauty and it intends to be a supportive stakeholder and long-term partner."
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