US cosmetics group Elf Beauty announced it is acquiring make-up and skincare brand Rhode, founded by Hailey Bieber, in a landmark billion-dollar deal
In what is regarded as one of the biggest celebrity beauty acquisitions in recent years, Hailey Bieber’s make-up and skincare label Rhode has just been sold for US$1 billion. Elf Beauty announced it signed a definitive agreement to acquire Rhode, a rapidly growing lifestyle beauty brand known for its collection of high-tech, everyday skincare products. According to a press release, the deal is “comprised of US$800 million of consideration payable at closing in a combination of cash and stock, subject to customary adjustments, and an additional potential earnout consideration of US$200 million” based on Rhode’s growth over the next three years. The news comes two months after Vogue Business reported that the brand hired investment banks JPMorgan Chase and Moelisto oversee the sale.
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Founded in 2022 by Bieber and her business partners, Michael Ratner and Lauren Ratner, Rhode launched with just three products as a direct-to-consumer brand that quickly rose to prominence among beauty enthusiasts and industry watchers. While its collection of ten products is considered modest compared to other celebrity beauty brands, a report in Business of Fashion stated that the brand managed to rake up US$212 million in net sales in the latest fiscal year ending in March 2025. Rhode recently announced its entrance into physical stores, starting with Sephora US and Canada stores and in Sephora UK by the end of the year.
It is no surprise that the brand quickly went viral due to Bieber’s influence that started various social media trends—from glazed donut nails to Erewhon smoothies. But those familiar with Rhode will know the products that truly shot the brand into superstardom are its Peptide Lip Treatment and the instantly recognisable Lip Case.
“When I launched Rhode in 2022, I always had big dreams for the company, and the most important thing to me is to keep bringing rhode to more spaces, places, and faces globally,” Bieber said in an Instagram post announcing the acquisition. “So today I am so incredibly excited and proud to announce that we are partnering with Elf Beauty as we step into this next chapter in the world of rhode.”
Elf Beauty chief executive officer and chairman Tarang Amin told Vogue Business that this new partnership is the “perfect marriage” for them. The American beauty group’s existing portfolio currently consists of skincare brand Naturium, singer Alicia Keys’s wellness brand, Soulcare, and makeup brand Well People.
While Bieber continues her role as founder of Rhode, she also takes on new titles: Chief Creative Officer and Head of Innovation of the brand as well as strategic advisor to Elf Beauty.
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