Hailey Bieber Sells Rhode to e.l.f. Beauty in $1 Billion Deal

Model and businesswoman Hailey Bieber is selling her skincare brand, Rhode, to makeup company e.l.f. Beauty in a deal that could be worth as much as $1 billion (£740 million).

Hailey, a 28-year-old model, launched Rhode in 2022, naming it after her middle name. The brand gained significant popularity online, particularly on TikTok, with products such as peptide lip treatments and pocket blush. In the past year alone, it made over $200 million in sales, and plans to launch in Sephora stores in the US and UK.

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e.l.f. Beauty is paying $800 million in cash and stock, with the chance of paying another $200 million if Rhode keeps growing. The deal is expected to be completed later this year. It can really be a life changing moment for both of the brands.

Hailey will stay on as chief creative officer, and the rest of her team will continue running the company. She called this deal the “next chapter” for Rhode and said it will help them reach more customers and grow globally with new, exciting products.

e.l.f. Beauty, which stands for “eyes, lips, face,” started in 2004 as a low-cost online makeup brand. It later grew by selling in stores like Target and through social media, which made affordable makeup trendy.

The company is based in Oakland, California. It reported that global sales rose 28% to $1.3 billion last year. However, it’s not giving financial predictions for this year because of changing tariff rules. As they have to pay extra taxes on goods from places like China, where many of its products are made.

e.l.f. said it will raise prices by $1 starting August 1, but it’s still watching the tariff situation closely. Like Rhode, all of e.l.f.’s products are vegan and cruelty-free (not tested on animals). Both brands also use lowercase letters in their names. e.l.f.’s CEO, Tarang Amin, said:

“We found a like-minded disruptor in rhode. We’re excited by rhode's power to shake up the beauty world, just like us.”

e.l.f. also owns other beauty brands:

Well People (makeup)
Naturium (skincare)
Keys Soulcare, created with singer Alicia Keys

Hailey follows other celebrities who launched beauty lines, like Rihanna (Fenty Beauty) and Selena Gomez (Rare Beauty). In 2023 alone, celebrity beauty brands generated over $1 billion in sales, according to a report by NielsenIQ.

Hailey is the daughter of actor Stephen Baldwin and niece of actors Alec, William, and Daniel Baldwin. She and her husband, singer Justin Bieber, had their first child last year.

In a recent Vogue interview, Hailey said she didn’t expect Rhode to become so big: “In my wildest dreams, it’s already gone beyond what I would’ve hoped for.”