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Revolution Beauty Acquires Medichem Manufacturing

November 12, 2021 BeautyMatter
November 12, 2021

After a successful initial public offering on London's junior AIM market in August, Revolution Beauty has made its first acquisition of haircare and skincare supplier Medichem Manufacturing for £23 million ($31.7 million).

WHO: UK-based Medichem Manufacturing Ltd. is a supplier of haircare and skincare with end-to-end operations that include an R&D laboratory, bulk manufacturing, warehousing, and distribution.

Founded in 2014 by co-founders Adam Minto and Tom Allsworth, Revolution Beauty is a global mass beauty and personal care business that operates a multi-brand, multi-category strategy and sells 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.

WHY: The acquisition will enhance Revolution Beauty's margins and increase control of its supply chain and productivity.

IN THEIR OWN WORDS: Commenting on the acquisition, Adam Minto, Chief Executive Officer and joint founder of Revolution Beauty Group, said: "The intention to acquire Medichem was disclosed at the time of our IPO, and I am pleased to announce today that we are delivering against our strategy and exercising our option to acquire this highly complementary manufacturing business."

He added, "By vertically integrating Revolution Beauty in this way and taking manufacturing in-house for the first time, we will have even more control of our supply chain, allowing us to improve productivity, our cost base and margins, while being earnings accretive."


  • Revolution Beauty acquired Medichem Manufacturing for £23 million ($31.7 million).
  • During its last financial year to December 31, 2020, Medichem reported audited revenues of £13.4 million ($18.6 million) and pretax profit of £1.6 million ($2.2 million).
  • The purchase price will be payable in installments, with £7 million ($9.6 million) payable in cash on completion from the group's current cash resources, and the balance payable in equal annual £4 million ($5.5 million) installments over four years.
  • The Medichem business was owned by Tom Allsworth, Executive Chairman of Revolution Beauty, who was its sole shareholder.
  • The transaction is Revolution Beauty's first acquisition, providing the group with its own fully owned and vertically integrated manufacturing business.
  • In August 2021, Revolution Beauty Group successfully executed a £300 million placing as part of its initial public offering and will trade as REVB on London's junior AIM market.

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