THE WHAT? L Catterton is set to acquire a majority stake in hair extension platform Beauty Industry Group. Terms of the transaction were not disclosed.
THE DETAILS Beauty Industry Group’s existing shareholders, including HGGC, CEO Derrick Porter and the management team will reinvest to retain a significant minority stake. Following the close of the transaction, the company will remain at its current HQ in Salt Lake City and Porter and his team will remain in situ.
“We are thrilled to partner with L Catterton to build on our momentum and continue to expand our market leadership within the beauty space,” said Derrick Porter, Chief Executive Officer of Beauty Industry Group. “With more and more consumers around the world prioritizing hair extensions over any other beauty service, L Catterton’s brand building expertise, operational know-how, and global resources will allow us to enhance our world class supply chain further, and reach more consumers who rely on high quality hair extensions every day. With the support of HGGC over these last several years, we have developed a premier portfolio of leading brands, and we could not be more excited about our Company’s future with this partnership.”
THE WHY? “The hair extension category is one of the largest, fastest growing, and most underserved spaces in the hair care category. Consumers of all ages and demographics are increasingly turning to hair extensions for fuller, thicker, and longer hair in their everyday lives,” said Avik Pramanik, Partner at L Catterton. “Derrick and the BIG team have established the Company as the premier provider of hair extension services and products for consumers and stylists alike. In addition, BIG has established itself as the partner-of-choice for leading brands and innovators in this emerging category. We share a long-term vision with the BIG team and HGGC, and we look forward to working together to capitalize on new opportunities for long-term, sustainable growth while continuing to deliver the highest quality products to more consumers, stylists, and salons around the world.”