Exploring the Potential Sale of Fenty Beauty: LVMH Considers Selling Stake in Rihanna's Cosmetics Brand
LVMH, a luxury goods conglomerate, is reportedly considering selling its 50% stake in Fenty Beauty, a cosmetics brand co-owned by Rihanna, the renowned singer and entrepreneur. The potential sale is being explored with the assistance of investment bank Evercore, as per sources familiar with the matter. The creation of Fenty Beauty in 2017 marked a collaboration between Rihanna and Kendo Brands, an incubator within LVMH dedicated to beauty products. Both parties currently hold equal ownership in the company.
While LVMH and Evercore have refrained from providing comments on the matter, Fenty Beauty and representatives for Rihanna have not responded to requests for comment. With an estimated net sales figure of approximately $450 million in 2024, Fenty Beauty could command a valuation ranging from $1 billion to $2 billion, according to insiders. Rihanna, hailing from Barbados and also the owner of lingerie brand Savage X Fenty, established Fenty Beauty with the goal of offering makeup suitable for diverse skin tones and types, catering to Black, Hispanic, and Asian women. The brand's product range encompasses makeup, skincare, haircare, and fragrance, available for purchase at Sephora and Amazon.
In a recent industry development, Elf Beauty acquired Rhode, a company associated with Hailey Bieber, for $1 billion earlier this year. The potential sale of LVMH's stake in Fenty Beauty underscores the dynamic nature of the beauty and cosmetics sector, with strategic partnerships and acquisitions shaping the landscape. As the brand continues to resonate with consumers seeking inclusive beauty solutions, the outcome of the sale process will be closely monitored by industry observers and enthusiasts alike.