Mergers and Acquisition Shaping Beauty Industry 2025 - Bespoke Advantage
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Mergers & Acquisitions Shaping Beauty Sector in 2025

Mergers and acquisitions continue to play a dynamic role in shaping the beauty industry’s landscape. It’s always intriguing to watch which major players are setting their sights on emerging or established brands, and even more so when eye-popping investment figures come into play.

From high-end skincare labels to mass-market staples, this year’s burst of deals has highlighted both evolving consumer preferences and the economic pressures facing the sector. In their quest to diversify and future-proof their portfolios, beauty corporations have dipped into strategic acquisitions that speak innovation and loyalty.

First up is Puig’s acquisition of Dr. Barbara Sturm, the German luxury skincare label known for its science-backed formulations and cult following. With a reputation for delivering high-performance, clinical-grade products, Dr. Barbara Sturm’s appeal lies in its ability to merge scientific skincare with premium products.

Unilever has made headlines with its purchase of Wild, the refillable personal care brand launched in 2020 by entrepreneurs Charlie Bowes-Lyon and Freddy Ward. Wild’s eco-conscious range, including natural deodorants, lip balms, body washes, and handwashes, has captured the attention of modern consumers seeking sustainable alternatives without compromising on quality. The acquisition signals a strategic push toward innovation and environmental responsibility.

Beauty giant e.l.f. acquired Rhode, the skincare line co-founded by model and entrepreneur Hailey Bieber, in a $1 billion transaction. Launched in 2022 and named after Bieber’s middle name, Rhode has quickly become a viral sensation. With more than $200 million in net sales over the 12 months to March 2025, the brand has built its success on minimalist packaging, peptide-powered formulas, and a devoted online fanbase. TikTok buzz surrounding its pocket blushes and lip treatments has helped propel the brand into mainstream beauty consciousness. With plans to launch in Sephora stores across the US and UK, Rhode’s trajectory shows no signs of slowing.

 

Meanwhile, a chapter closed for Byredo as founder Ben Gorham announced his departure from the brand he created nearly two decades ago. Now owned by Puig, Byredo redefined what modern luxury fragrance could look like, minimalist, emotional, and rooted in storytelling. Gorham, a former professional athlete with Indian and Canadian roots, came to perfumery through art and instinct rather than formal training. That intuitive approach gave rise to a brand that has influenced everything from niche fragrance to fashion collaborations. His exit marks the end of an era, but Byredo’s impact continues to resonate.

Also making waves is Unilever’s recent agreement to acquire Dr. Squatch, a U.S.-based men’s personal care brand that has built a fiercely loyal following through humour-driven social media content and a direct-to-consumer model. With reported 2024 revenues exceeding $400 million, the brand is known for its viral campaigns, celebrity partnerships (including Sydney Sweeney and Nick Cannon), and limited-edition lines. Valued at up to $2 billion, the deal, set to close later this year pending regulatory approvals, signals Unilever’s intent to double down on high-growth, digitally native brands that speak directly to the Gen Z and millennial male consumer.

L’Oréal has acquired a major stake in the British skincare brand Medik8, who will join their L’Oréal Luxe Division, sitting together with brands including Skinceuticals. Medik8 is renowned for their science-backed, results-driven skincare products. Their hero products include their Crystal Retinal Serum and their Vitamin A-based products and they have a growing presence in the US,  complimentary to L’Oréal’s strategic focus. Through this acquisition, Medik8 will expand globally through L’Oréal’s distribution network, whilst L’Oréal has strengthened their portfolio of successfully proven, much-loved, scientific skincare brands.

If you are a brand looking to be acquired, when considering an acquisition, it is important to factor in how this acquisition benefits both parties and how jointly you can leverage your strengths to maximise long-term profitability and growth.

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