In a stunning move that cements Hailey Bieber as a force in the celebrity beauty business, the 28-year-old model and entrepreneur has sold her skincare brand, Rhode Skin, to e.l.f. Beauty for a jaw-dropping $1 billion.
According to various media reports, the deal includes $800 million of cash and stock, plus up to $200 million in potential earnouts based on brand growth over the next three years.
But for Hailey Bieber, this isn’t just a business transaction, it’s the next step in a meteoric rise that began in 2022 when she launched Rhode Skin, a minimalist skincare line named after her middle name.
Since its debut, the brand has become a social media sensation, generating over $200 million in sales within 12 months, thanks to its viral products, including the Peptide Lip Treatment and Pocket Blush.
Now, with e.l.f. Beauty at the helm, Rhode is gearing up for global expansion, including placements in Sephora stores across the U.S. and U.K.
Bieber’s excitement about this partnership is palpable. “I always had big dreams for Rhode,” she wrote in a heartfelt Instagram post.
“The most important thing to me is to keep bringing Rhode to more spaces, places and faces globally. Partnering with e.l.f. Beauty marks an incredible opportunity to elevate and accelerate our ability to reach more of our community with even more innovative products.”
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Bieber will stay on as Chief Creative Officer and Head of Innovation, ensuring Rhode retains her signature aesthetic and brand ethos.
Her Instagram announcement radiated pride and gratitude, framing this deal as not just a business milestone but a personal one.
e.l.f. Beauty CEO Tarang Amin echoed the sentiment, calling her “one of the most thoughtful founders I’ve ever met. What we saw in Rhode was another like-minded disruptor. Hailey’s instinct, aesthetic, and ability to connect with her community are unparalleled.”
Bieber’s move aligns her with a growing roster of A-list beauty moguls who have built billion-dollar businesses by capitalising on their brands. Rihanna’s Fenty Beauty, now valued at nearly $3 billion, revolutionised the industry with its inclusive shade ranges. Kylie Jenner sold a majority stake in Kylie Cosmetics to Coty for $600 million in 2020, while Selena Gomez’s Rare Beauty has also become a juggernaut, landing her on the Bloomberg Billionaire Index.
Celebrity beauty brands are no longer vanity projects, they’re powerhouses. In 2023 alone, these brands generated over $1 billion in sales, according to Nielsen IQ.
Bieber’s success with Rhode underscores the shift in how beauty consumers engage with brands. It’s no longer just about the product; it’s about the story, the authenticity, and the ability to connect with a community.
From Hollywood heiress to beauty mogul
Her trajectory is as compelling as the brand she’s built. The daughter of actor Stephen Baldwin and niece to Alec, William, and Daniel Baldwin, she grew up under Hollywood’s spotlight.
But she’s carved out her own identity, leveraging her fashion-forward style and marriage to global pop star Justin Bieber into a platform that’s as much about influence as it is about entrepreneurship.
In a recent “Vogue” interview, she admitted she never anticipated Rhode’s explosive success.
“In my wildest dreams, it’s already gone beyond what I would’ve hoped for,” she shared.
“Why e.l.f Beauty? e.l.f. Beauty’s rise mirrors Rhode’s disruptor story. Known for merging high-quality products with affordability, e.l.f. has grown for 25 consecutive quarters, a rarity in the competitive beauty industry.”
Originally dismissed as a “dupe” brand, e.l.f. has since built a reputation for innovation and speed to market, consistently delivering products that resonate with modern consumers.
The synergy between e.l.f. and Rhode lies in their shared values: inclusivity, innovation, and community. Together, they aim to amplify Rhode’s reach, bringing its cult-favorite products to an even wider audience. For beauty enthusiasts, this partnership signals big things to come.
Expect more of Rhode’s signature minimalist packaging, Instagram-worthy products, and skin-first formulas. And with Hailey still at the creative helm, the brand’s DNA will remain intact, even as it scales new heights.
