BEAUTY DEALS: M&A TRANSACTIONS Q4 2018
M&A activity spiked in 2015 and has continued unabated since, with 2018 being no different. The deal volume in the fourth quarter saw an uptick of activity in the haircare category and down the supply chain, but there was a softening of the color cosmetic category with just one transaction that checks the clean beauty box.
Experts predicted we would see activity increase in haircare, which is estimated to reach $211.1 billion by 2025, according to a recent report by Grand View Research. Category highlights were Frederic Fekkaibuying back his brand, and three transactions in hair extension brands, highlighted by Cathexis Holdings taking a $20 million minority stake in Bellami Hair.
The end of the year saw a surfacing of investment down the supply chain specifically in ingredient, manufacturing, and packing companies. See BeautyMatter’s full report, Beauty Deals: M&A Transactions Q4 2018.