e.l.f. Beauty to Acquire Hailey Bieber’s Skincare Brand rhode in $1 Billion Deal
e.l.f. Beauty Chairman and CEO Tarang Amin and rhode Founder Hailey Bieber • Photo Credit: e.l.f. Beauty
OAKLAND, Calif., May 29, 2025 (FASHION BEAUTY SCENE) — Beauty company e.l.f. Beauty, a publicly traded firm specializing in cosmetics and skincare, has announced a definitive agreement to acquire skincare brand rhode in a deal valued at up to $1 billion.
The transaction includes $800 million payable at closing through a mix of cash and stock, along with an additional potential earnout of $200 million based on rhode’s growth over a three-year period. The agreement was approved by e.l.f. Beauty’s Board of Directors and is expected to close in the second quarter of Fiscal 2026, pending regulatory approval and other customary conditions.
Hailey Bieber, who founded rhode in 2022, will continue to serve as Founder and will also take on the roles of Chief Creative Officer and Head of Innovation. Bieber will additionally serve as a Strategic Advisor to the combined company.
“We can’t wait to bring rhode to more faces, places, and spaces. From day one, my vision for rhode has been to make essential skin care and hybrid makeup you can use every day. Just three years into this journey, our partnership with e.l.f. Beauty marks an incredible opportunity to elevate and accelerate our ability to reach more of our community with even more innovative products and widen our distribution globally. As I continue as Founder and step into an expanded role of Chief Creative Officer and Head of Innovation, I look forward to leading the brand into this exciting new chapter of possibilities alongside my Co-Founders Michael D. Ratner and Lauren Ratner, who have helped bring my vision to life from the start,” said Hailey Bieber, Founder, rhode.
According to the company, rhode generated $212 million in net sales in the 12-month period ending March 31, 2025. The brand currently sells products via its website and is preparing for its first retail launch with Sephora across North America and the U.K. later this year.
e.l.f. Beauty Chairman and CEO Tarang Amin commented on the deal, stating, “e.l.f. Beauty found a like-minded disruptor in rhode. rhode further diversifies our portfolio with a fast-growing brand that makes the best of prestige accessible. We are excited by rhode’s ability to break beauty barriers, fully aligning with e.l.f. Beauty’s vision to create a different kind of company. rhode is a beautiful brand that we believe is ready for rocketship growth.”
The $800 million purchase price includes $600 million in cash financed through fully committed debt and $200 million in e.l.f. Beauty common stock. The earnout consideration of $200 million is contingent on post-closing brand growth metrics. Some of the shares issued to founders and key employees are subject to lock-up agreements for a one-year period.
Founded in 2004, e.l.f. Beauty’s portfolio includes e.l.f. Cosmetics, e.l.f. SKIN, Keys Soulcare, Well People, and Naturium. The company’s acquisition of rhode expands its presence in the prestige beauty sector and builds on its recent strategy of brand diversification.
For more information, visit www.elfbeauty.com or www.rhodeskin.com.
Source: e.l.f. Beauty
