This morning, The Estée Lauder Companies, Inc. announced its agreement for the acquisition of Becca Cosmetics. Though the terms of the deal have not been officially disclosed, it’s been suggested the beauty brand powerhouse deal was in the realm of $200 million and is expected to close next month.
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Joining brands like Darphin, MAC Cosmetics, Smashbox and Tom Ford, the indie beauty brand, which was founded in 2001 and set to generate around $80 million in revenue this year, plans to continue expanding under the leadership of president and chief executive Bob DeBaker and chief financial officer and chief operating officer James MacPherson. “The Estée Lauder Companies is the ideal home for BECCA,” said DeBaker in the statement. “The Company has the scale and vision to help elevate BECCA to its next phase of growth while encouraging us to continue to build our unique brand equity. We believe that beauty products should reflect a diverse range of skin tones and help all women create a naturally beautiful, yet individual look, and ELC is incredibly supportive of our mission. We’re thrilled to be joining the team.”
BECCA took to Instagram to inform its #BECCAbeauties of the news, and ensured them that the formulas will continue to be “what you know and love,” promising that all products will continue to be cruelty-free and not tested on animals. With Estée Lauder making strategic moves to assert itself to a younger beauty demographic—it recently launched The Estée Edit, a spin-off of the original luxe beauty line that targets a younger consumer, with cool girl Kendall Jenner as its face—joining forces with BECCA is a surefire step in the right direction for the beauty conglomerate.
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